KSA – Ins. coverage soon against maid servants running away
Wednesday, 03 31 2021, Category: Insurance and Reinsurance, Country: Saudi Arabia
RIYADH — The Ministry of Human Resources and Social Development is expected to announce soon its decision to introduce an insurance scheme against domestic servants running away or their refusal to continue work or unwillingness to complete their period of contract.
The validity of the insurance policy will be for two years with a premium of less than SR500.
The ministry, in cooperation with the Saudi Central Bank, has completed all the procedures after carrying out the necessary studies in this regard, according to a report in Al-Eqtisadiah newspaper.
The decision will involve payment of compensation to the employer, the beneficiary, by insurance companies an amount equal to the value of recruitment costs in the event the maid servant runs away or refuses to work during the remaining period of the contract after the expiry of the initial three-month period.
The insurance policy also covers compensation toward salary arrears of maid servants if the sponsor does not pay them. The decision to insure the recruitment contract will not be compulsory, but rather it will be optional for the beneficiaries who want to hire domestic workers.
Source: Saudi Gazette