Having a household helper is a great aid for families, especially for parents who are both working. These workers help families by doing household chores like house cleaning, preparing family meals, and tending to the needs of children. Apart from the salary that an employer must compensate to the helper, the latter needs insurance coverage. Countries like Hong Kong and Singapore require their citizens who are planning to employ a domestic helper to purchase an insurance plan. Here are the reasons why having an insurance is required for your helper:
Covers medical expenses
Accidents and illnesses can happen to anyone, regardless of the profession and domestic helpers are no exception. It is the responsibility of an employer to cover the medical expenses for the helper in case that she got sick or got involved in an accident. These medical expenses include medical consultation fees, outpatient expenses, surgical expenses and emergency dental treatment. Purchasing an insurance for your helper can help you cover medical-related costs to insure your helper against these kinds of scenario that may happen.
Your helper’s livelihood is at stake if she got hospitalized or in a medical leave. This means that due to your helper’s condition, she can’t go to work, limiting her earning capacity. Luckily, some insurance companies offer wage compensation for your helper. The money from these insurance policies can be used to provide for your helper’s needs as well as some additional funds that the helper can utilize for professional aid if required.
Employers got protected too.
What’s good about having an insurance for your helper is that it also protects the employer as well. Helper insurance helps employers against legal liabilities they might face when an unfortunate circumstance occurs while the helper is on duty. These unfortunate circumstances include the helper being legally responsible for causing injury on a person accidentally or causing damage or loss to other people’s property unintentionally.
Aside from these, you will get protected from financial loss caused by fraud, theft, or deceit of your domestic helper. Some insurance companies are offering to pay for a new door and gate locks should a helper quit the job due to disagreement or undisclosed terms.
Protection against violation of the security bond
Apart from protection against legal liabilities, purchasing a domestic helper insurance can protect an employer against possible violations of the security bond. A security bond is an irrevocable agreement to pay the government if an employer is found to have violated laws or terms and conditions concerning the employment of a household helper. For example, in Singapore, employers are required to pay a bond when hiring a domestic helper (unless the helper is Malaysian). Obtaining an insurance for a helper permits an employer to acquire an MOM or Ministry of Manpower security bond protector.
Having an insurance for your helper can significantly help both parties. On your part as an employer, it shields you from unexpected medical bills and legal liabilities. For your helper, it helps cover the cost of hospitalization as well as salary loss due to medical absences.