SAUDI ARABIA

MHRSD to announce soon linking insurance to domestic work contracts

August 17, 2022



Saudi Gazette report

RIYADH The Ministry of Human Resources and Social Development (MHRSD) will soon announce its decision to link the provision of insurance to domestic labor contracts at reduced prices.

The recruitment companies will inform the beneficiaries of the insurance coverage at the time of concluding contractual agreement between employers and domestic workers.

The “Al-Rassed” program, aired on Al-Ekhbariya Television, stated that the Ministry of Human Resources was close to announcing a decision in this regard. Under the new regulation, the rights and benefits of both the employer and the worker will be guaranteed, “In the event that the domestic worker escapes, falls ill, dies, or wishes not to complete the duration of the work contract, there will be insurance that preserves the right of the recruiter, and its price will be lower and affordable for everyone.”

The insurance coverage will compensate employer for the losses incurred due to the runaway of domestic workers. “The insurance will be part of the contract, and when contracting with the recruitment office to obtain domestic workers, there will be an insurance price that will be accessible to everyone,” it said.

The application of insurance for domestic workers is being finalized in cooperation with the Saudi Central Bank (SAMA).


August 17, 2022
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