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NOV 27 2016

Republic of the Philippines DATE!

HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Third Regular Session
8656

House Bill No.

Introduced by Representative John Marvin “Yul Servo” C. Nieto

EXPLANATORY NOTE:

As a manifestation of support to this timely piece of legislation, this
representation respectfully refiles this measure, which has constantly been
receiving support from the past and present Congress.

Over the years, there have been many injuries and deaths that have
occurred in the country’s light rail and railway systems. Payment for the
expenses (hospitalization, rehabilitation, and death indemnity) is
unavoidable when it comes to these situations. There is the need for the
provision of insurance coverage to ensure that all victims are properly
compensated. This will also prove beneficial for the protection of the
Government from shouldering the liability costs given how frequent
accidents and failure incidents happen. This representation believes that
providing insurance is the appropriate long term solution instead of
disbursing public funds from the Department of Transportation (DOTr).

This measure seeks to mandate light rail and railway systems to create an
insurance scheme for their passengers to ensure their protection and assure
if accidents or failures arise, their expenses will be compensated.

In this light, the passage of this bill is earnestly sought.



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Third Regular Session

. 8656
House Bill No.

Introduced by Representative John Marvin “Yul Servo” C. Nieto

AN ACT
REQUIRING ALL OPERATORS, FRANCHISE HOLDERS, AND SERVICE
PROVIDERS OF MASS TRANSPORT PASSENGER TRAINS AND LIGHT
RAIL SERVICES TO ACQUIRE COMPREHENSIVE THIRD-PARTY
LIABILITY INSURANCE COVERAGE FOR THE WELFARE OF THE
RIDING PUBLIC

Be it enacted by the Senate and the House of Representatives of the
Philippines in Congress assembled:

SECTION 1. Short Title. This Act shall be known as the "Comprehensive
Third-Party Liability Insurance for Rail and Light Rail Mass Transport Act”

SEC. 2. Third Party Liability Insurance Coverage. - All operators,
franchise holders, and service providers of mass transport passenger trains
and light rail, whether public or private-owned or managed, are hereby
required to have comprehensive third-party liability insurance (CTPLI) for
the protection and welfare of the riding public.

SEC. 3. Implementing Rules and Regulations. - The Insurance
Commission, Government Service Insurance System, Social Security
System, Bangko Sentral ng Pilipinas, and Department of Transportation shall
jointly formulate and promulgate, in consultation with the insurance
industry, the implementing rules, regulations, and insurance mechanisms to
implement this Act.

The insurance mechanisms may involve one or a combination of different
insurance solutions: (1) microinsurance per passenger per trip; (2)
insurance for entire or components of rail networks; (3) insurance coverage


borne by service providers, and (4) insurance that includes coverage for
calamities and other fortuitous events.

SEC 4. Separability. - If any provision or part of this Act is declared invalid
or unconstitutional, the remaining parts or provisions not affected shall
continue to be in full force and effect.

SECTION 5. Repealing Clause. - All laws, executive orders, and
administrative orders or parts thereof inconsistent with any provision of this
Act are hereby repealed or amended accordingly.

SEC. 6. Effectivity Clause. - This Act shall take effect fifteen (15) days
after its publication in the online version of the Official Gazette or in two (2)
newspapers of general circulation or with established internet website
presence.

Approved,