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UPDATED JUL 7, 2026💡 What to expect for employee benefits when you hire in Portugal through Toku. Portugal's key employer-provided benefit is mandatory workers' compensation insurance, which Toku maintains for every employee - timely notice of hires and salary changes is essential for coverage.
At a Glance
| Item | Detail |
|---|---|
| Workers' compensation | Mandatory for all employers ("Acidentes de Trabalho") |
| Insurer | UNA Seguros S.A. |
| Who pays | 100% employer - no employee contribution |
| Premium basis | Set at annual renewal from declared gross remuneration |
| Critical rule | Employees must be registered with the carrier before starting |
Statutory Benefits
Employees are covered by Portugal's public healthcare and social security systems through payroll contributions. On top of that, workers' compensation insurance is compulsory for all employers in Portugal, covering all work-related accidents and occupational illnesses.
Workers' Compensation Coverage
Toku maintains the policy through UNA Seguros. Coverage includes: medical assistance through UNA's clinical partner network, hospital and surgical care, accidents during international work travel (must be reported within 24 hours), expense reimbursements (transport, medications, hospital costs), and compensation payments - temporary disability is paid monthly during treatment, and permanent disability pensions are paid following Labor Court approval.
Costs & Who Pays
The premium is fully employer-paid — employees contribute nothing. The policy runs on a fixed-premium basis, recalculated at each annual renewal based on declared total gross remuneration per employee (base salary, meal allowance, vacation and Christmas allowances, overtime, commissions, and other recurring payments).
What Clients Need to Know
- Advance notice is critical. Employees are only covered if properly registered with the carrier before they start - retroactive coverage is not guaranteed. Give Toku timely notice of Portugal hires, terminations, and any salary or compensation changes so the policy is updated before the effective date.
- Annual data refresh. The policy renews each December; Toku collects updated expected gross annual salaries for all Portugal employees in early November. Accurate, complete declarations (including all recurring compensation elements) keep coverage and premiums correct.
Last verified July 2026. This guide is for general information and doesn't constitute legal or tax advice. Questions? Contact [email protected].