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REPUBLIC OF THE PHILIPPINES a <
HOUSE OF REPRESENTATIVES ls ee ED % es
QUEZON CITY cl
EIGHTEENTH CONGRESS om
First Regular Session “

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NE nner SS
HOUSE BILL NO. _5258 _

Introduced by REPRESENTATIVES ENRICO A. PINEDA and
MICHAEL ODYLON L. ROMERO, PhD.

EXPLANATORY NOTE

Republic Act No. 8042, otherwise known as the Migrant Workers and Overseas
Filipino Act of 1995 was enacted in recognition of the contributions of Filipino migrant
workers to our country’s economy through their foreign currency remittances. In 2010,
Republic Act no. 10022 was enacted during the Fourteenth Congress which improved the
standard of protection and promotion of the welfare of our migrant workers, their
families and overseas Filipinos in distress. Section 37-A of the said Act requires
compulsory insurance for agency-hired workers at no cost to the worker. While the said
provision is beneficial to our modern heroes, it was limited to agency-hired workers,
while making it optional to other migrant workers who are re-hired and direct-hired,
without the intervention of a recruitment or manning agency, including the government-
to-government hired workers. This was specifically emphasized in the Implementing
Rules and Regulation (IRR) of RA no. 10022 which was subsequently approved.

With only less than a decade of implementation of the said law, demands have
been made that compulsory insurance coverage also include re-hires, directly-hired and
government-to-government hired workers.

The vision of the said law is to ensure the safety and welfare of all our migrant
workers. The POEA, together with the Governing Board, heeded the call and issued
Governing Board Resolution No. 4, (s. 2018) requiring compulsory insurance for all
migrant workers. However, the said Board Resolution was questioned to have no legal
grounds for implementation. In view thereof, this bill seeks to ensure that such vision of
RA no, 10022 be attained by providing specific provisions that will make insurance for
all our migrant workers mandatory.

In view of the foregoing, the immediate passage of this bill is earnestly sought.

oe MICHAEL ODYLON L. ROMERO, PhD

1PACMAN 1PACMAN


REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
QUEZON CITY

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. 5258

Introduced by REPRESENTATIVES ENRICO A. PINEDA and
MICHAEL ODYLON L. ROMERO, PhD.

AN ACT EXPANDING THE COVERAGE OF COMPULSORY INSURANCE OF

OVERSEAS FILIPINO WORKERS, FUTHER AMENDING REPUBLIC ACT NO.

8042, OTHERWISE KNOWN AS THE MIGRANT WORKERS AND OVERSEAS
FILIPINO ACT OF 1995, AS AMENDED BY REPUBLIC ACT NO. 10022

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

SECTION 1. Section 37-A of Republic Act No. 8042, as amended, is hereby further
amended to read as follows:

“Section 37-A. Compulsory Insurance Agency-Hired Workers[.],
REHIRES, DIRECT HIRE AND GOVERNMENT TO
GOVERNMENT. In the addition to the performance bond to be filed
by the recruitment/manning agency under Section 10, each migrant
worker deployed by a recruitment/manning agency, REHIRED,
DIRECT HIRED AND GOVERNMENT-TO-GOVERNMENT
HIRED WORKER shall be covered by a compulsory insurance policy
which shall be secured [at no cost to the said worker] AS FOLLOWS:

(A) FOR AGENCY-HIRED WORKER, BY THE DEPLOYING
RECRUITMENT/MANNING AGENCY AT NO COST TO
THE WORKER;
(B) FOR THE BALIK-MANGGAGAWA OR REHIRE, BY THE
FOREIGN EMPLOYER AT NO COST TO THE WORKER;
(a) FOR THE DIRECT-HIRED WORKER, BY THE FOREIGN
EMPLOYER AT NO COST TO THE WORKER;
(D) FOR THE GOVERNMENT-TO-GOVERNMENT-HIRED
WORKER, BY THE FOREIGN EMPLOYER AT NO COST TO
THE WORKER;

Such insurance policy shall be effective for the duration of the migrant
worker's employment contract and shall cover, at the minimum:

(a) Repatriation cost of the worker when his/her employment is
terminated without any valid cause, including the transport of his/her


belongings. In case of death, the insurance provider shall arrange and
pay for the repatriation or return of the worker's remains. The insurance
provider shall also render any AND ALL assistance necessary in the
transport including, but not limited to, locating a local licensed funeral
home, mortuary or direct disposition facility to prepare the body for
transport, completing all documentation, obtaining legal clearances,
procuring consular services, [purchasing the minimally] PROVIDING
THE necessary casket or air transport container, as well as transporting,
the remains including retrieval from site of death and delivery to the
receiving funeral home;”

XXX

[In addition to the above coverage, the insurance policy shall also
include]

“(g) Compassionate visit. When a migrant worker is hospitalized and
has been confined for at least seven (7) consecutive days, [he] THE
MIGRANT WORKER shall be entitled to a compassionate visit by one
(1) family member or a requested individual. The insurance company
shall pay for the transportation of the family member or requested
individual to the major airport closest to the place of hospitalization of
the worker AND BACK TO THE PHILIPPINES. It is, however, the
responsibility of the family member or requested individual to meet all
visa and travel document requirements;

(h) Medical evacuation. When an adequate medical facility is not
available proximate to the migrant worker, as determined by the
insurance company's physician and/or a consulting physician,
evacuation SHALL BE MADE TO THE NEAREST HOSPITAL OF
ADEQUATE MEDICAL FACILITY under appropriate medical
supervision by the mode of transport necessary WHICH shall be
undertaken by the insurance provider; and”

XXX

SECTION 2. The succeeding paragraphs after Section 37-A (i) is hereby amended to
read as follows:

“Only reputable private insurance companies duly registered with the
Insurance Commission (IC) , which are in existence and operational for
at least [Five hundred million pesos (P500,000,000.00)] ONE BILLION
PESOS (P1,000,000,000.00) to be determined by the IC, and with a
current year certificate of authority shall be qualified to provide for the
worker's insurance coverage. Insurance companies who have directors,
partners, officers, employees or agents with relatives, within the fourth
civil degree of consanguinity or affinity, who work or have interest in
any of the licensed recruitment/manning agencies or in any of the
government agencies involved in the overseas employment program
shall be disqualified from providing this workers' insurance coverage.

The recruitment/manning agency OR THE FOREIGN EMPLOYER,
shall have the right to choose from any of the qualified insurance


providers the company that will insure the migrant worker [it will
deploy]. After procuring such insurance policy, the recruitment/manning
agency OR FOREIGN EMPLOYER shall provide an authenticated copy
thereof to the migrant worker. It shall then submit the certificate of
insurance coverage of the migrant worker to POEA as a requirement for
the issuance of an Overseas Employment Certificate (OEC) to the migrant
worker. IN FILING A CLAIM WITH THE INSURANCE PROVIDER,
THE RECRUITMENT/MANNING AGENCY SHALL ASSIST THE
OFW OR THE BENEFICIARY AND ENSURE THAT ALL
INFORMATION AND DOCUMENTS IN THE CUSTODY OF THE
AGENCY NECESSARY FOR THE CLAIM MUST BE READILY
ACCESSIBLE TO THE CLAIMANT. In the case of seafarers who are
insured under policies issued by foreign insurance companies, the POEA
shall accept certificates or other proofs of cover from
recruitment/manning agencies: Provided, That the minimum coverage
under sub-paragraphs (a) to (i) are included therein.» WHEN THE
PERSON OR ENTITY PAYING FOR THE INSURANCE IS THE
FOREIGN EMPLOYER, THE FOREGOING DUTIES SHALL BE
PERFORMED BY THE POEA.

XXX
SECTION 3. Sub-paragraph 10 of Section 37-A is further amended and repealed:

[For migrant workers recruited by the POEA on a government-to-
government arrangement, the POEA shall establish a foreign employers
guarantee fund which shall be answerable to the workers’ monetary
claims arising from breach of contractual obligations. For migrant
workers classified as rehires, name hires or direct hires, they may opt to
be covered by this insurance coverage by requesting their foreign
employers to pay for the cost of the insurance coverage or they may pay
for the premium themselves. To protect the rights of these workers, the
POEA shall provide them adequate legal assistance, including
conciliation and mediation services, whether at home or abroad.]

XXX
SECTION 4. Repealing Clause. All laws, decrees, executive orders, rules and
regulations, or parts thereof inconsistent with the provisions of this Act are repealed or
modified accordingly.

SECTIONS. Effectivity. This Act shall take effect fifteen (15) days after its publication in
the Official Gazette or in a newspaper of general circulation.

Approved,