Radzi: Papa has no choice but to accept government scheme

The Star, Friday January 18, 2008, PETALING JAYA: The Malaysian Association of Foreign Housemaids Agencies (Papa) has no choice but to accept the government-backed insurance scheme for foreign maids.

Home Minister Datuk Seri Radzi Sheikh Ahmad said the new government-proposed insurance was a “good scheme” and will be worth the money.

He said the scheme was a government policy that must be obeyed by employers.

“Papa has to accept the scheme,” he said.


On Wednesday, Razdi announced the Government’s insurance coverage. The annual RM75 insurance coverage to be administered by a government-linked company will cover accidents, death and healthcare.
Radzi said Papa should wait for the more details of the scheme, to be announced at the end of the month, before making objections.

“Our policy is that if you are here as a legal (foreign) maid, you are insured. We are the party that will control this,” he added.

But Papa said that it would not support the government-backed insurance scheme because it was expensive and monopolistic.

It president Datuk Raja Zulkepley Dahalan said the association would support any insurance scheme that could provide better coverage and have lower premium but not the one proposed by the Government.

“We also oppose any form of monopoly of housemaids’ insurance in Malaysia,” he said.

He said the proposal introduced by Papa was only RM48 a year and RM75 for two years, but the government’s scheme costs RM75 a year.

The Papa-proposed insurance scheme is underwritten by a consortium consisting of Takaful Amanah HSBC Bhd, Takaful Ikhlas Bhd, Allianz General Insurance Company (Malaysia) Bhd and Jerneh Insurance Bhd.


Source from: The Star, URL:
http://thestar.com.my/news/story.asp?file=/2008/1/18/nation/20044837&sec=nation