According to the mandatory requirements stipulated by Ministry of Man Power (MOM), it is compulsory for every employer to purchase insurance for their maid in Singapore. The minimum requirements are as followers:

1. Medical insurance with a coverage of at least $15,000 per year for inpatient care and day surgery during your helper’s stay in Singapore
2. Personal accident insurance of at least $60,000 per year to cover sudden, unforeseen, and unexpected incidents resulting in permanent disability or death.

So a basic medical and personal accident insurance is required when hiring a maid in Singapore but how much do we really need to spend on maid insurance? Is cheaper always necessarily the best? Here’s how to choose the best one for your needs rather than rely on the arrangement provided by the maid agency for all the convenience sake.

General policy of Singapore maid insurance and cost?

Most maid work permit contracts are either for 12-month or 24-month, and there is a MOM requirement for all insurance and bonds to have an additional two months of coverage, this is to insure your helper for an additional two months after the expiry of her work permit, in case her repatriation is not immediate. Most plans will include a letter of guarantee for the mandatory $5,000 security bond, as required by the MOM.

You can expect to pay between $180 to $200 for a 14-month insurance term policy, and between $246 and $374 for a 26-month insurance term policy. (Excluding Covid-19 insurance coverage)

Is the basic general policy enough?

Most employers assume that having a basic plan is sufficient (always choose the lowest price plan) –but this may not always be the case because should an accident happens to your domestic helper, you might save more money in the long run.

Most maid insurance plans are classified into 3 tiers, based on price and coverage. Of course, the higher the tier, the more coverage it provides.

Basic Tier: Recommended if you are budget-conscious and are willing to forego the extra coverage provided by more expensive insurance plans. Most basic plans cost around $260 for a 26-month policy, which works out to be about $10/month.

Mid-Tier: Mid-tier plans often offer the best value for money because they offer wider coverage at an affordable rate. Average premiums for a mid-tier plan cost around $320 for a 26-month policy, which works out to be around $12.30/month. If the foreign domestic helper falls sick, ends up in a hospital and is not able to work, you’ll be covered for up to $30/day in wage compensation. On top of that, her medical bills will also be taken care of by the insurance.

Top-Tier: Top-tier maid insurance policies generally have the widest coverage and higher payouts. Most top-tier plans are priced around $360 for a 26-month policy, which works out to be about $14.40/month. If coverage for theft is also a prime concern, look for a top-tier insurance policy with a generous payout.

On top of the pre-requisite requirements, most of the coverage offered by insurance companies usually includes these seven key benefits.

Benefit 1: Domestic helper’s personal belonging

Theft or damages to your domestic helper’s personal belongings such as laptops, smartphones, jewellery will usually be covered.

Benefit 2: Replacement Maid Expenses

Covers the agency fees for a replacement should your domestic helper’s services be terminated due to death or permanent disability.

Benefit 3: Repatriation Expenses

If your domestic helper is permanently disabled or if she dies, she or her family will be provided with a repatriation payout which covers the trip back to her home country. The process can be costly if uninsured.

Benefit 4: Wage Compensation

Covers your helper’s wages should she be hospitalised and is unable to work. It is paid daily for a certain amount of time, capped at a certain limit, depending on the policy.

Benefit 5: Outpatient Expenses

Outpatient expenses are not included in the basic policy as required by the MOM, so it is important to know how much is covered in the event that outpatient treatment is needed.

Benefit 6: Third-Party Liability

This provides indemnity against any expenses incurred as a result of accidental bodily injury to any third parties as well as accidental damage to any third parties’ properties, as committed by your domestic helper.

Benefit 7: Theft

This protects your personal and family’s properties from theft perpetrated by your domestic helper.

Bonus Benefit: COVID-19 Coverage

An increasing number of insurers have included coverage against the novel coronavirus, either as an optional rider or at no additional cost. Do check for this when you’re comparing the various policies out there.

Notable Exclusions

Like all insurance plans, there are certain elements which most insurers will not cover. In general, your domestic helper will not be covered for any psychiatric, venereal diseases, pregnancy or suicide-related expenses.

When should you start buying a maid insurance policy?

The start date of the policy is 5 days from the date of purchase and within 14 days from the date of application. Start dates are sorted into three categories:

New maids: policy start date is the date when your maid arrives in Singapore

Renewal maids: policy start date is one day after your maid’s current work permit expires

Transferred maids: policy start date is on or before the date you apply for a transfer with MOM

Final Note

If you are interested to see which are the best plans available based on your budget, you can check out this page to determine if you are getting the best bang for your buck.

Alternatively, you can contact us at https://craftamaid.com.sg/contact/ or also reach us via this hotline number: +65 86224702 to find out more about maid insurance quotation. Psss! We can even help you apply.