Question & AnswerQ&A (POEA MEMORANDUM CIRCULAR NO. 27 S. 1984)
The primary obligation to provide insurance coverage to Filipino overseas contract workers lies with the employers or their local agents, who must provide individual insurance certificates to workers without additional cost.
An individual insurance certificate issued to every Filipino contract worker by the employer or its local agent serves as proof of insurance coverage.
Yes, insurance coverage bought by the employer from insurance companies outside the Philippines is considered compliance with LOI No. 1122, provided the coverage is equal or superior to that specified in Ministry Order No. 5.
Yes, insurance provided in compliance with Ministry requirements for war risk areas is considered compliance with LOI No. 1122 if the amount is not less than what is provided in Ministry Order No. 5.
Yes, vacationing contract workers may process documents without an individual insurance certificate if they are on vacation from an overseas job covered by an unexpired contract, but only for one year from the issuance of the circular.
The returning vacationing worker must comply with the insurance requirement and present an individual insurance certificate corresponding to the new employment contract.
No, name-hired contract workers already covered by adequate insurance do not need to present a separate individual insurance certificate when processing travel documents and contracts at the POEA.
A sworn statement or affidavit of undertaking submitted by the agency or contractor, attesting that workers are adequately covered by insurance, suffices for compliance to avoid delays.
The agency or contractor submitting the sworn statement assumes full and complete liability over any and all claims arising from the insurance.
The guidelines aim to provide adequate benefits to Filipino overseas contract workers while maintaining the competitiveness of Filipino labor in the international market.