Finance

Things You Should Know Before Choosing Maid Insurance In Singapore  

According to MOM- ministry of manpower in Singapore it is mandatory for all employees to get insurance for their helpers or maids.  Though Maid Insurance is compulsory in Singapore as per the MOM- Ministry Of Manpower requirements, very few families are aware of this as it is not widely discussed. Employers having insurance for their helpers have most likely bought it through their maid agency.

Maid agencies sometimes get into a partnership with the insurance company to provide  assured benefits and also foreign maid insurance. Maid insurance protects you against unexpected expenses, apart from adhering to the rules and regulations. Though it is mandatory, is it surprising to know that people talk least about it.  As a result, people are unaware of the policies and what is exactly covered by the insurance.

Basic coverage

Don’t rush in hurry and end up with making insurance in companies told by the maid agency. The basic coverage for your maid according to the requirements of MOM are as follows:

  • You must also know what is critical illness insurance for understanding this coverage. Medical insurance assures a minimum coverage of sum $60000 and $15000 coverage for personal accident. This insurance covers all the charges in hospitals and day surgery costs in a year in Singapore.
  • Note that there are cases that are excluded from the policies are drug or alcohol addiction, Contraception, Psychiatric illnesses, Cosmetic surgery, Braces, and prosthetic devices, STD treatment.
  • Pregnancy ( which can lead to cancel the contract between the maid and employee), Routine dental care

A $5000 security bond will be guaranteed by the insurer from whom you bought the plans.  There are many additional benefits offered by many insurance companies such as Repatriation expenses (cost involving the transportation of the claimant to their country after they have been severely injured or been killed),  personal liability insurance, theft or robbery, wage compensation, etc., to fight the competition. It would be wise to research the different maid insurance policies beforehand before applying, to see that the coverage is sufficient.

Maid insurance policies are accessible for 14-month or 26-month time periods. Most employers hire a domestic helper on a 2-year contract, buying a 26-month plan can cut off at least 30% of your expenses per annum.

 Factors you must check

The following factors should be checked before you make a maid insurance in a country like Singapore. These factors are also for foreign maid insurance.

  • Outpatient Expenses

Generally, outpatient expenses are not covered in plans, except for the minimal requirements no agencies will offer you the same benefits. So check for coverage in case there is any requirement for outpatient treatment. However, there is enormous competition in recent times and some insurance companies are offering outpatient expenses coverage too to get attracted.

People of the country must also know what is a critical illness insurance? Well, insurance companies also make sure that the critical illness insurance must also be covered and the person must get a refund.

  • Security bond

The insurance company must provide security bond coverage. This comes with various coverage levels and you can opt according to your needs. In this, the insurance agency will be handed out a security bond to the Ministry of manpower or MOM. If the bond in any chance is forfeited, the company will hand over the amount to the MOM.

  • Cancellation Refund

It is very much important to check whether the insurance company issues a full refund of your premium amount. This is the most noteworthy as finding a good maid is not an easy job. Sometimes, situations may arrive where cancellation of the contract with your maid may happen.

So looking for a maid insurance policy where you won’t lose money is a good step. However, cancellation of the contract can be done in a limited time period within which you can cancel the policy.

  • Home Cover

Choosing a policy that has a home cover is a smart act. There are possibilities where maids have stolen things from the employer’s home. So secure your domestic contents from robbery  besides burglary and fire.

  • Maid’s Liability

No one can say what’s next. Thus, it’s always better to keep prepare. Your helper may cause some unintentional injury to other property. In spite of being an accident, you may have to pay for the damage. Some policies cover legal liability due to your helper’s negligence.

  • Wage Coverage

Insurance policy should cover or compensate maid’s wages during her hospitalisationor illness.  However, hospitalisation is not an everyday issue and the policy may pay her part of her wage while she gets better.

Often agency can allow you to get a substitute for your maid unless she recovers but duration and wages can vary in different agencies.

  • Expenses For Maid Replacement

Just in case your domestic helper dies or becomes permanently disable there are insurances agency that cover agency fees for maid replacement. Note that the contract can be terminated according to their norms.

  • Coverage  Your Maid’s Personal Belongings

This covers expenses for interment that need to be paid to your maid’s family after she is no more. The insurance claims security to the belongings of your domestic helper.

Some maid insurance policies do provide protection for your FDW’s personal belongings. These could range between $300 to $500 worth of claims for loss or destruction of their items due to warranted events.

  • Affordable premiums

Look for maid insurance that comes within a pocket-friendly premium.  It is better to go for an insurance company where you can buy an online policy because this puts an end to the need for middlemen and thus premiums get lower.

While choosing maid insurance choose a policy that has pre-existing health malady for your maid. Doing so would benefit you in a long run and at lesser risk. Know what treatments are covered and what is not.

Maid insurance- a very popular decision by the government of Singapore

Singapore is a great nation, which possesses strict rules and regulation. If there is any breach of contract or any violation of rules and norms,  as a punishable act high amount of fines are charged.  Having a  maid Insurance as an employee is one such requirement to buy one for your maid. Most of the families in Singapore recruit helpers to meet their daily household needs.

The government has made it compulsory for employers to purchase a maid insurance policy to protect the interests of both the employers and helpers. However you need to be careful when  you are choosing a policy, it must offer maximum coverage, majorly in outpatient expenses along with inexpensive premiums.

 The bottom line

Research before you proceed. It’s always better to compare between different agencies and then choosing the best. Make the most of this and always opt for an insurance policy that is the least burdening and more beneficial. Do not go for the insurance company told by your maid agency before investigation.

To make the right choice be more aware of your requirements and your domestic helper’s health conditions. Making a maid insurance can give you a lot of relief when it comes to Hospitalisation which could be a big burden if there is no insurance policy. So secure yourself by choosing a good maid insurance policy. Keep in mind all the factors discussed above and pick out the best for you and your domestic helper.

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