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Cash sickness benefits - Allowance during illness

Application for cash sickness benefits

Amounts and periods

Accumulated rights are paid out on the date of application. After that, the validity period of the certificate is usually paid out every 14 days. You can see schedule of the approved period on payment documents in the digital mailbox under My pages.

Periods and amounts

If the right is unequivocal, payments may be made up to six months retroactively from the date of receipt of all documents. Payment is made from the 15th day of sickness. Payment is allowed 365 days every two years. When the maximum is reached, you can seek support from the social services of the municipality unless you are entitled to a rehabilitation pension from the Social Insurance Administration.

Cash sickness benefits is fixed amount for each paid day. Full or half daily allowance is paid according to circumstances, as well as child support for children under 18 years of age on the applicant's behalf.

Note that sickness allowance is taxable. If you want to use a personal tax credit, you need to register your tax card use under File a tax card.

Health insurance employees are not permitted to register tax cards for the applicant

Full or half daily allowance

You will receive full daily allowance

  • if you were employed at 100%

  • if you were in a combination of work, school and benefits from the Directorate of Labour equivalent to 100% employment

You will receive half of your daily allowance

  • if you were homeworkers

  • if you were employed less than 100%

Applicants who are entitled to half daily allowance can apply to receive payment for home help provided by non-domestic workers. Nevertheless, no more than half daily allowance is paid for such help. You must present a signed bill with the recipient's ID number, hours worked and the amount of paid wages.

Application for cash sickness benefits

Service provider

Ice­land Health

Application for cash sickness benefits