What is Domestic Helper Insurance?

In Hong Kong it is a fact of life that many households will employ a Domestic Helper, also commonly known in the city simply as a “maid.” Domestic helpers work in all sorts of roles, from child care to household chores, and even driving or yard work if the employer needs it.

Domestic helpers play a multifaceted role in the life of residents in HKSAR, and in many instances a domestic helper may even become part of your family; living and working with you for many years (if not decades) into the future. 

However, employing a domestic helper isn’t as simple as just sorting out the employment contract or work visa for that individual. In fact, in Hong Kong there are actually a number of regulations in regards to hiring a household worker – including the purchase of mandatory insurance coverage.

What is Employees’ Compensation Insurance?

Employees’ Compensation Insurance, also known as Worker’s Compensation Insurance, or simply EC Insurance, is a type of insurance coverage designed to protect employers against their financial liability towards a worker who has experienced an accident, injury, or illness in the routine course of their job.

In Hong Kong, any employer who hires any person to perform any job must purchase Employees’ Compensation Insurance to cover their financial liability towards any injuries or illnesses that individual may experience while at work. This is a statutory requirement and is law in HKSAR under the Employees’ Compensation Ordinance Chapter 282.

As all employers in the city are required to hold this form of insurance, so too are the employers of Domestic Helpers. That is to say, if you directly employ a household maid then you are required to purchase workers compensation coverage for that employee.

All Maid Insurance options in Hong Kong will include Employees’ Compensation coverage to satisfy your obligations at law as an employer. However, when employing a domestic helper there are often additional considerations that may catch you off guard.

Domestic Helper Health and Insurance Concerns

Employing a domestic Helper in Hong Kong has a number of rules and regulations, including the live in requirements and the minimum wage that must be paid to all domestic helpers in the city. However, it is important to understand that as an employer, you are also responsible for providing your domestic helper with free medical treatment.

Under Hong Kong law, your domestic helper must be provided with necessary medical treatment at your expense. This is in addition to your helper receiving mandatory sick leave – under law they are entitled to two (2) sick leave days per month for the first year of their employment and 4 paid sick leave days ever month from the second year of their employment onwards.

Because of these regulations, some employers opt to take out Maid Health Insurance coverage to protect against their risk of having to pay out of pocket for the treatment of any significant or long-lasting sicknesses impacting their helper.

Domestic Helper Insurance Bundles

Because of all the different risks and requirements associated with employing a Domestic Helper in Hong Kong, it can be confusing knowing where to go to satisfy your insurance obligations. Fortunately, many insurance underwriters in Hong Kong offer comprehensive Domestic Helper Insurance bundles that will provide you and your helper with a wide range of diverse coverages under the umbrella of a single convenient insurance policy.

Not all Domestic Helper Insurance products are the same, and not all of them will offer the same levels of coverage, or even the same benefits. But, generally, on most Domestic Helper Insurance products in Hong Kong you can expect to find coverage benefits for the following:

• Employees Compensation Insurance
• Medical Insurance
• Personal Accident Insurance
• Loss of Services Allowance
• Critical Illness Insurance
• Repatriation Insurance
• Replacement Helper Expenses
• Loan Protection Insurance
• And many more

It is important to understand that only Employees’ Compensation Insurance is required under Hong Kong law, but opting to purchase a more comprehensive Maid Insurance bundle can mean simplifying your risks and ensuring that no matter what happens to your domestic helper, they will have the support they need.

Elderly Helper Insurance in Hong Kong

In some cases, an employer may wish to continue employing their helper for many years, if not decades. In this instance, a situation may arise where a helper of 64 years or older is still working for an employer. If faced with such a situation it is important to understand that many of the off-the-shelf insurance solutions for domestic helpers will be unavailable.

If you are employing a helper who is 64 or older you are still required to purchase Employees’ Compensation Insurance for that worker under Hong Kong law. If this is the case, then it is normally only possible to purchase said EC Insurance, and none of the ancillary benefits which would commonly be found on a domestic helper’s insurance bundle. Further to this, the insurance company may charge an additional premium on any Employees Compensation Insurance obtained for a worker over the age of 64, representing that employee’s increased likelihood of experiencing a workplace related accident or injury.

Domestic Helper and Maid Insurance in Hong Kong

Domestic Helper Insurance, as with all insurance products, has no right answer. There is no universal or magic insurance policy that is going to work for all employers and families at all times. The best plan for your needs is going to depend on a number of different factors, including the job duties of your helper, their age, and the requirements and lifestyle of your family.

From the budget you can expect to pay through to the benefits being offered by the maid insurance plan, this type of insurance can often be tailored to meet your exact specifications, giving you and your domestic helper the security you need to know that no matter what happens, the support you deserve will be available.

For more information about domestic helper insurance products in Hong Kong, or to compare a range of leading insurance options for your helper, please Contact Us and speak with an expert Broker Today.

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