Maid insurance is compulsory in Singapore. Every employer employing a foreign domestic maid has to buy maid insurance. The Ministry of Manpower, also known as MOM, has made it compulsory.
Synopsis of this article
Thus before buying foreign domestic worker insurance, you should know the basic things related to the insurance policy. This article will tell you how maid insurance works in Singapore in detail.
From where can you buy the maid insurance?
If you are buying maid insurance for the first time in Singapore, you should buy it from a maid agency. These agencies can suggest various types of schemes. Some you may like, some you may not. Therefore it is better to compare these before buying.
The duration of the maid insurance policy
Thus all maid insurance schemes provide two durations. One is for fourteen months, and the other is for twenty-six months. For a first-time insurance buyer, the fourteen months insurance policy is ideal. However, you can get more benefits, discounts and buy the insurance at a much cheaper cost if you buy the twenty-six months policy.
The three tiers of the maid insurance policy
Based on the price and coverage level the most of the maid insurance is classified into three tiers. These tiers include basic, mid, and top. If you want more coverage, opt for higher-tier insurances.
Comparison between the three tiers of maid insurance
It is crucial to see the difference between the three tiers. Also, what are the different benefits that one can get from the basic tier, mid-tier, and top tier? However, it is also important to remember that most of these insurance policies are reasonably priced and are not too expensive.
Basic tier– If you opt for the basic tier, you will not get the additional benefits insurance agencies to provide. You will only get those insurances that the Ministry of Manpower or MOM has recommended. If you are someone who gives more importance to budget control, this is ideal for you.
Mid-tier- This insurance gives you a wide range of coverage. Although it gives a wide range of benefits, the price of the insurance is moderate. An advantage of buying mid-tier insurance is that if your maid falls sick and is hospitalised, the insurance will cover all the expenses. Another advantage is if your maid is unable to work, the insurance will cover for $30 per day.
Top tier- If you buy top-tier insurance, you will get more coverage than the mid-tier and a higher payout. It also includes theft coverage. Thus, if you want most of the benefits that a maid agency offers, go for the top-tier policy.
The start date of the policy
Within fourteen days of your application for the policy, you can purchase the policy. Within five days of your purchase, the start date of the policy begins.
There are three categories of start dates. The start date of a policy for a new maid begins from the day she arrives in Singapore. If you have renewed a policy, the start date of the policy begins from a day after the expiration of your maid’s current work permit. For a transferred maid, the start date of the policy is on the day or before you apply for a transfer with MOM.
The recommendation of MOM
According to the Ministry of Manpower or MOM, every foreign domestic maid must have the following:
- Insurance for personal accidents of S$60,000 per year
- Insurance that will cover the hospitalisation of the maid. Including the expense of surgery of S$15,000 per year.
- A security bond of S$5,000.
Additional benefits that maid insurance agencies provide
All the insurance policy agencies provide all three mandatory insurance. Apart from that they also provide more benefits to their customers. It, however, depends on the cost of the insurance. High-priced maid insurance will give more coverage than low-priced insurance.
Apart from the mandatory insurance, the additional benefits that you can get are as follows:
- Coverage if the personal belongings of your maid get stolen or lost due to some reason.
- Some insurance also cover the repatriation fees which, can be expensive.
- Much insurance also cover the expense in case of maid replacement.
- An outpatient expense can also result in very expensive. Hence many insurances do cover this as well.
- If your maid is unable to work due to illness or disability, the insurance policy compensates the wage of your maid.
- Some insurance policies also give the extra benefit of third-party liability, which can otherwise become expensive for you.
- Some insurance policies also cover theft.
- In the present situation where people are suffering from COVID-19, the insurance agencies are also providing policies that cover the medical expense of your maid if they get COVID.
Know the pre-existing condition of the is vital
Apart from the insurance policies, the employer must buy the security bond. Before buying, the insurance policy does ask your maid about pre-existing conditions if they have any. It will help you to buy the correct insurance for your maid keeping the pre-existing condition in mind.
Check everything before you buy insurance.
Also, before buying the insurance, check that the insurance is giving coverage for malaria, dengue, and COVID-19. Also, always check whether you are getting all the benefits according to the price of the insurance.
Research and compare the policies.
Since you can get so many types of insurance benefits, it’s easy to get confused. It also becomes hard to choose the right maid insurance. For this reason, you should always do your research work and compare different policies.
In this way, nobody can fool you to choose the right policy for your maid. Everybody wants the best critical illness insurance in Singapore and also the best maid insurance. For this reason, prior research can help you a lot.
The maid insurance is quite helpful. To get more protection at a fair price, buy mid-tier maid insurance, which can be ideal.