There are two types of labor insurance; workers accident compensation insurance (rosai hoken) and employment insurance (koyo hoken).
If an insured person becomes ill, suffers injury or dies while he/she is at work or commuting, the benefits will be paid to the insured person or his/her family. Any business owners who employ one or more worker(s) are required to participate in this insurance.
Employment insurance helps people who have been recently unemployed to find a new job and also provides them with benefits to help cover their living expenses until they are employed again. This is called unemployment benefit (shitsugyo kyufu). Eligible applicants for the unemployment benefit are those who were enrolled in the employment insurance plan for 12 months or longer (11 days or longer in each month) in the preceding two years*, are willing to be employed again, and are available to work. The application is handled at the public employment safety offices (Hello Work).
*6 months or longer (11 days or longer in each month) in the preceding one year for those who become unemployed due to bankruptcy, dismissal, or other reasons of their employer.