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SINGAPORE: Singapore's Ministry of Manpower (MOM) has said "no" to placing a cap on the maximum medical liability of an employer for foreign domestic workers brought into the country.
The ministry made this clear in Parliament on Monday and explained the rationale behind increasing the minimum insurance coverage for such workers.
From January next year, the minimum insurance coverage for all foreign domestic workers in Singapore will be raised to S$15,000 a year.
The Manpower Ministry said this is to reduce the employer's exposure to potentially large hospital bills.
But one MP was concerned over the costs that will be borne by employers who cannot afford to shoulder higher liabilities.
MP for Tanjong Pagar GRC, Baey Yam Keng, said: "I would like to ask whether MOM also has considered the fact that employers of foreign domestic workers are mere individuals and are not corporations.
"Hence these employers are unlikely to have the resources like companies to take care of, in some cases, the extremely high medical bills of their foreign domestic workers."
Senior Parliamentary Secretary, Manpower Ministry, Hawazi Daipi, said: "Employers who make the decision to bring foreign workers into Singapore would bear the cost of their care. Otherwise, hospitals will run deficits which are ultimately paid for by the taxpayer."
Mr Hawazi said those who face difficulties may approach the hospital directly to discuss options such as paying by instalments.
The current medical insurance coverage for foreign domestic workers is now S$5,000.
MOM said it has received feedback that quite a number of medical bills for such workers exceed the minimum coverage set.
In fact, it said last year, one out of every ten hospital bills for foreign workers and foreign domestic workers was more than S$5,000.
The ministry said when medical bills go beyond the coverage amount, employers will have to pay the difference. Employers may also choose to get higher coverage on their own accord if they wish to have greater protection.
On whether part of the foreign maid levy could go towards paying for any excess beyond the maximum liability, MOM said that as with other taxes collected, the levy is part of government revenue and not earmarked for specific expenditure. - CNA/vm
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