'Welfare insurance plan won’t cost OFWs a peso'
Philippines - A group of manpower agencies have expressed support for a bill seeking to provide welfare insurance for overseas Filipino workers (OFW), assuring critics that it would be at no cost to beneficiaries.
The Philippine Association of Service Exporters, Inc. (Pasei) said House Bill 5621, proposed by Cagayan de Oro Rep. Rufus Rodriguez, is necessary in view of the growing number of overseas Filipinos who need assistance.
Migrante International’s chapter in Saudi Arabia earlier slammed Rodriguez’s proposal as an added burden to OFWs.
“We believe that Rep. Rodriguez’s proposal will not cause added burden to our (OFWs)," Pasei president Victor Fernandez said in a letter sent to Migrante-KSA chairperson A.M. Ociones.
Pasei said the proposed insurance is envisioned to compensate and complement benefits currently not covered by the OWWA’s program.
These include repatriation, subsistence allowance, legitimate money claims, coverage for terrorist attacks, and enhanced financial benefits.
Under the bill, the proposed insurance program shall cover the following:
• Accidental death benefit of up to US$15,000 or more than P700,000;
• Survivor's benefit, in case of natural death, of up to US$10,000 or more than P470,000;
• Permanent total disability of up to US$7,500 more than P350,000;
• Repatriation of bodily remains, including burial, of up to US$15,000 or more than P700,000;
• Repatriation due to emergency evacuation and legitimate causes of up to US$1,000 or more than P47,000;
• Subsistence allowance of US$100 per month for six months totaling US$600 or more than P28,000; and
• Legitimate monetary claims for unpaid/rightful and just wages of up to US$4,500 or more than P200,000.
Recruiters pay
As explained by Fernandez in his letter, it is the recruitment agency and not the OFW who is required to pay a premium of US$3 or about P140 per month to OWWA for the insurance coverage.
“So, how can this be an additional burden? This is protection and (will) benefit the (OFW)," he said.
Migrante-KSA said that this is an added burden because recruitment agencies will most probably not pay the required fee and pass it on to the worker.
“While we welcome all efforts by our legislators to address the problems of migrants-in-distress, we believe this scheme would only aggravate the collection of all sorts of fees and fund-raising schemes from migrant workers," said Ociones.
Fernandez denied that recruitment agencies pass on such burden to OFWs.
“If we may recall, the initial US$25-compulsory OWWA membership fee of the (OFWs) is paid by licensed recruitment agencies or by the foreign employer and not by the workers," he said.
On PhilHealth fees and functions
On the same note, Fernandez said that Migrante-KSA should not complain about the P900 fee paid by OFWs for membership in the Philippine Health Insurance Corp (PhilHealth).
“While it is true that the P900 PhilHealth membership fee is paid by the (OFW), it is inarguably for his/her and his/her legal dependents to enjoy the benefits," he said.
Such benefits include inpatient coverage such as subsidy for room and board, drugs and medicine, laboratories, operation room and professional fees for confinement of not less than 24 hours, and outpatient coverage like day surgeries, dialysis, and cancer treatment procedures in accredited hospitals and free-standing clinics.
“In fact, we encourage all (OFWs) to regularly renew their enrollment in the (OFW) PhilHealth Medical Program to provide medical coverage to their families," said Fernandez.
He added that additional medical coverage of the (OFW) onsite is provided under the host country’s national medical program and as stated in the employment contract negotiated by recruitment agencies in line with the host country’s social and labor laws.
OWWA vs PhilHealth
On Migrante-KSA's suggestion that the medical insurance coverage from PhilHealth be returned to OWWA, Pasei said such idea was ill-advised and contradicts Migrante’s position that OWWA is but a milking cow of the government whose funds are being misused for other unauthorized and irregular transactions.
“We maintain that PhilHealth is more robust and more stable when it comes to its funds and resources to cover medical needs of our (OFWs) and family members. OWWA has limited network, manpower and resources for this service," Fernandez said.
He added that PhilHealth is more “focused" as the sole medical insurance provider and can therefore provide better medical coverage and services.
Nonetheless, Fernandez said he supported Ociones’ idea that the medical insurance coverage be expanded by lowering the age of beneficiaries and spreading its scope to include other family members.
“We support this proposal of expanding the benefit and others but must be handled by PhilHealth and not by OWWA," he said
Restructuring OWWA
Fernandez supported Ociones in saying that the mandate of OWWA should be expanded into that of a social security agency, effectively providing retirement plans and more benefits like scholarships and livelihood assistance for OFWs.
“Pasei supports this and is willing to sit down with the representatives of Rep. Rufus Rodriguez and Migrante International when the specific proposal is firmed-up and finalized but as a separate issue from this HB 5621," he said.
He noted that the mandate of OWWA is not clearly defined. It is unclear whether it is a welfare or an insurance agency, he said.
“Retirement plan and other wider social benefit packages can be better handled by the Social Security System instead of OWWA, which needs to be laser-focused only on specific short-term programs duly and ably funded by contributions of its (OFW) members," said Fernandez. - GMANews.TV
The Philippine Association of Service Exporters, Inc. (Pasei) said House Bill 5621, proposed by Cagayan de Oro Rep. Rufus Rodriguez, is necessary in view of the growing number of overseas Filipinos who need assistance.
Migrante International’s chapter in Saudi Arabia earlier slammed Rodriguez’s proposal as an added burden to OFWs.
“We believe that Rep. Rodriguez’s proposal will not cause added burden to our (OFWs)," Pasei president Victor Fernandez said in a letter sent to Migrante-KSA chairperson A.M. Ociones.
Pasei said the proposed insurance is envisioned to compensate and complement benefits currently not covered by the OWWA’s program.
These include repatriation, subsistence allowance, legitimate money claims, coverage for terrorist attacks, and enhanced financial benefits.
Under the bill, the proposed insurance program shall cover the following:
• Accidental death benefit of up to US$15,000 or more than P700,000;
• Survivor's benefit, in case of natural death, of up to US$10,000 or more than P470,000;
• Permanent total disability of up to US$7,500 more than P350,000;
• Repatriation of bodily remains, including burial, of up to US$15,000 or more than P700,000;
• Repatriation due to emergency evacuation and legitimate causes of up to US$1,000 or more than P47,000;
• Subsistence allowance of US$100 per month for six months totaling US$600 or more than P28,000; and
• Legitimate monetary claims for unpaid/rightful and just wages of up to US$4,500 or more than P200,000.
Recruiters pay
As explained by Fernandez in his letter, it is the recruitment agency and not the OFW who is required to pay a premium of US$3 or about P140 per month to OWWA for the insurance coverage.
“So, how can this be an additional burden? This is protection and (will) benefit the (OFW)," he said.
Migrante-KSA said that this is an added burden because recruitment agencies will most probably not pay the required fee and pass it on to the worker.
“While we welcome all efforts by our legislators to address the problems of migrants-in-distress, we believe this scheme would only aggravate the collection of all sorts of fees and fund-raising schemes from migrant workers," said Ociones.
Fernandez denied that recruitment agencies pass on such burden to OFWs.
“If we may recall, the initial US$25-compulsory OWWA membership fee of the (OFWs) is paid by licensed recruitment agencies or by the foreign employer and not by the workers," he said.
On PhilHealth fees and functions
On the same note, Fernandez said that Migrante-KSA should not complain about the P900 fee paid by OFWs for membership in the Philippine Health Insurance Corp (PhilHealth).
“While it is true that the P900 PhilHealth membership fee is paid by the (OFW), it is inarguably for his/her and his/her legal dependents to enjoy the benefits," he said.
Such benefits include inpatient coverage such as subsidy for room and board, drugs and medicine, laboratories, operation room and professional fees for confinement of not less than 24 hours, and outpatient coverage like day surgeries, dialysis, and cancer treatment procedures in accredited hospitals and free-standing clinics.
“In fact, we encourage all (OFWs) to regularly renew their enrollment in the (OFW) PhilHealth Medical Program to provide medical coverage to their families," said Fernandez.
He added that additional medical coverage of the (OFW) onsite is provided under the host country’s national medical program and as stated in the employment contract negotiated by recruitment agencies in line with the host country’s social and labor laws.
OWWA vs PhilHealth
On Migrante-KSA's suggestion that the medical insurance coverage from PhilHealth be returned to OWWA, Pasei said such idea was ill-advised and contradicts Migrante’s position that OWWA is but a milking cow of the government whose funds are being misused for other unauthorized and irregular transactions.
“We maintain that PhilHealth is more robust and more stable when it comes to its funds and resources to cover medical needs of our (OFWs) and family members. OWWA has limited network, manpower and resources for this service," Fernandez said.
He added that PhilHealth is more “focused" as the sole medical insurance provider and can therefore provide better medical coverage and services.
Nonetheless, Fernandez said he supported Ociones’ idea that the medical insurance coverage be expanded by lowering the age of beneficiaries and spreading its scope to include other family members.
“We support this proposal of expanding the benefit and others but must be handled by PhilHealth and not by OWWA," he said
Restructuring OWWA
Fernandez supported Ociones in saying that the mandate of OWWA should be expanded into that of a social security agency, effectively providing retirement plans and more benefits like scholarships and livelihood assistance for OFWs.
“Pasei supports this and is willing to sit down with the representatives of Rep. Rufus Rodriguez and Migrante International when the specific proposal is firmed-up and finalized but as a separate issue from this HB 5621," he said.
He noted that the mandate of OWWA is not clearly defined. It is unclear whether it is a welfare or an insurance agency, he said.
“Retirement plan and other wider social benefit packages can be better handled by the Social Security System instead of OWWA, which needs to be laser-focused only on specific short-term programs duly and ably funded by contributions of its (OFW) members," said Fernandez. - GMANews.TV
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