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FOURTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
Second Regular Session 
3 
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Introduced by Senator Villar 
EXPLANATORY NOTE 
International labor mobility is increasing, as a matter of policy and as a matter of 
fact. Today, the number of Overseas Filipino Workers (OFWs) has increased almost 25- 
fold over the past 20 years, with nearly 1.2 million registered deployments to over 190 
countries in 2006 alone. Although government policy initially focused on exporting 
professionals, employment opportunities abroad have diversified over time to include 
factory workers, construction workers, and service workers. 
In 2006, a total of 91,441 domestic helpers and other household workers were 
deployed overseas. Of this number, 98 percent or nearly 90,000 are female. Most of 
them were deployed to the following areas: Hong Kong (19,532), Kuwait (19,097), Saudi 
Arabia (1 1,898), United Arab Emirates (11,844), Lebanon (7,710), Qatar (6,524), Jordan 
(4,359), Singapore (3,162), Oman (2,068), Cyprus (1,178), and Bahrain (1,343). In 
2007, the Philippines deployed a total of 49,431 workers to Singapore, part of the 1.08 
million Filipinos who went abroad for work that year. 
There are numerous reports of maltreatment and exploitation suffered by our 
OFWs. Hence, there is a need to protect and ensure the welfare of our migrant workers. 
This bill seeks to provide compulsory welfare insurance for our overseas contract 
workers. 
In view thereof, immediate approval of this legislation is sought. 


FOURTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
Second Regular Session 
Introduced bv SENATOR VlLLAR 
AN ACT 
PROVIDING COMPULSARY WELFARE INSURANCE PROGRAM FOR ALL 
OVERSEAS CONTRACT WORKERS 
Be if enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Title. - This Act shall be known as the “Overseas Contract Workers 
Insurance Act.” 
SEC. 2. Declaration of Policy. - It is hereby declared a policy of the State to ensure 
the welfare of our overseas contract workers by providing free comprehensive 
insurance coverage. 
SEC. 3. Benefits under the lnsurance Program. -All overseas contract workers shall 
be covered by a welfare insurance program in addition to benefits being provided by 
Overseas Workers Welfare Administration. They shall be entitled to the following 
benefits: 
(a) Accidental Death Benefit of up to US$15,000; 
(b) Survivor’s Benefit, in case of Natural Death, of up to US$lO,OOO; 
(c) Permanent Total Disablement of up to US$7,500; 
(d) Repatriation of Bodily Remains, including burial, of up to US$4,000; 
(e) Repatriation due to Emergency Evacuation and legitimate causes of up to 
(9 Subsistence Allowance of up to US$lOO per month for six months totaling 
(9) Legitimate Monetary Claims for UnpaidlRightful and Just Wages of up to 
SEC. 4. lnsurance Premium. - All recruitment agencies shall pay a premium of 
US$3.00 per month to Overseas Workers Welfare Administration or any reputable and 
legally authorized private insurance company in the country for the insurance coverage 
of overseas contract workers. 
SEC. 5. Penalty. - In case of failure to pay the premium on time, the recruitment 
agency shall be liable to pay interest at the rate of 12% per annum. Refusal to pay 
premium for at least three consecutive months shall be a ground for the suspension or 
revocation of the recruitment agency’s license. 
US$ 1,000; 
US$600; and 
US$4,500. 


SEC. 6. lrnplementing Rules and Regulations. - The Department of Labor and 
Employment in consultation with labor and OFW associations, organizations and 
recognized aggrupation of recruitment agencies shall promulgate the rules and 
regulations for the effective enforcement of the provisions of this Act. 
SEC. 7. Separability Clause. - Should any provision of this Act or any part thereof be 
declared invalid, the other provisions, so far as they are separable from the invalid ones, 
shall remain in full force and effect. 
SEC. 8. Repealing Clause. -All laws, orders, issuances, rules and regulations or parts 
thereof inconsistent with this Act are hereby repealed or modifies accordingly. 
SEC. 9. Effectivity. - This Act shall take effect fifteen (15) days after its complete 
publication in at least two (2) newspapers of general circulation. 
Approved,