Domestic Worker Insurance- Main

Many Asian countries, such as Hong Kong, have just finished celebrating the Chinese New Year. It has been a consecutive weeks of holidays where most have enjoyed with their family and friends. However, there have been a few employees who work the hardest during these holidays for their employers. These employees include domestic workers.

Domestic workers are a massive help to families before and after the holidays. They commonly clean the house, cook food, and care for the elderly and children.

Domestic workers are employees who perform work in or for private houses/ families. They include helpers, caregivers and even drivers at times. Depending on their role, their duties differ, and each role comes with its own risks.

As an employer, you should understand the possible risks and how to prevent them. One of the best ways to deal with unpredictable domestic worker risks is domestic worker insurance. The insurance is the perfect solution for employers and domestic workers.

Therefore, this article will explain why you must purchase domestic worker insurance and the great coverage.

What is Domestic Worker Insurance?

Domestic worker insurance is also known as domestic helper insurance. The insurance provides employers and domestic employees with medical, legal and emergency protection. The protection includes injury or illness medical costs, protection for the family, emergency cover to return home and more. 

According to local labour departments, the insurance is also legally required in Hong Kong and most countries. Therefore, the insurance benefits the domestic helper and the employer from unforeseen accidents or even fraud caused by the helper.

Why Do Your Employees Need Domestic Worker Insurance?

Injuries At Work

Domestic workers have a range of risks that comes with their job. From helpers to caregivers can get injured while performing their duties. These work injuries or illnesses can be unpredictable and happen at any point of employment. Unfortunately, some of these injuries may need urgent medical care. 

 Domestic worker Injury

There are many examples and possible injuries. The injuries could easily be a slip and fall while cleaning or inhaling cleaning products. Additionally, caregiver workers of the elderly may get injured by the patient themselves – a mentally ill elderly may scratch or push their caregiver.

The employer will always be responsible for ensuring that the domestic worker gets this medical attention and financially take care of the bills. Fortunately, domestic worker insurance will help employers and domestic workers during work injuries. The insurance will pay for most medical costs and recovery treatments. The insurance will also cover the employer’s salary while the domestic worker is recovering. The employee compensation factor is the perfect fit for these sudden work injuries.

Medical Needs

Much like sudden work injuries; your domestic worker can fall ill at any point. Sometimes simple medications can solve sicknesses, but some illnesses/diseases need severe medical treatment and constant medicines. Domestic workers are like family; as an employer, you would do almost anything to help them during these difficult times.

Medical care- Caregivers

The illness or disease could be anything from heart attacks to cancer. During these times, they need all the emotional and financial help they can get from their employer.

Domestic worker insurance will cover medical treatment, hospitalisation and medicine for these saddening situations. Although, depending on your insurance policy, many policies will not cover illnesses that began before the insurance was purchased. Additionally, the insurance will not pay for medical treatment of injuries or illnesses while they are on holiday in their home country. They do a lot for your family, and this is the time to thank them.

Family/ Employer Protection

The majority of domestic workers are honest and perfect with the family, but unfortunately, not all. There are always cases where some domestic workers are not as great as they seem. Domestic workers can commit crimes against employers, families or a third party. Crimes mainly include theft or abuse.

Family Protection -Caregivers

For example, video recordings show how caregivers have abused their elderly employers. In addition, in 2022, a domestic helper stole $14 million from her Hong Kong employer. In such cases, employers must report the crime as soon as possible to the local police.

 After reporting a domestic worker and terminating the contract, employers must take other actions.  Such as changing locks, getting a new employee and more. Thankfully, domestic worker insurance includes a fidelity cover, which means the insurance will cover the loss caused by theft, fraud or dishonesty committed by the domestic helper. These costs will include reimbursement of stolen goods, rehiring expenses, lock changes and additional legal fees. The insurance will help protect you and your family if things don’t go as planned.

Emergency Issues

As you can tell from the above examples, there is always a chance of facing an unpredictable situation when hiring a domestic worker.  One of the situations includes an emergency moment when a domestic worker has to return to her home country for drastic reasons.

Emergency Fund

Unfortunately, these reasons are typically very saddening, such as a death in a worker’s family or personal incurable health reasons. Either way, the domestic worker must go back to their home country. The employer will be responsible for paying for tickets and emergency reasons.

In these horrible situations, domestic worker insurance will assist the employer in paying for flight tickets to their home country and will cover all costs involved in any case –  including repatriation expenses. Although, the reason for returning must be an emergency or medical-related (depending on specific policy). Emergency travel can be costly, but it has to be done for your domestic worker, and that’s why this insurance is the best solution.

Is Domestic Worker Insurance Necessary?

 Domestic worker insurance is a must when hiring a helper, caregiver, or any employee working in your home. In Hong Kong, many domestic workers even live with their employers – after a few weeks, the domestic worker is part of the family. The insurance provides the necessary coverage to protect your employee and yourself.

 The insurance shows the domestic employee that you care for them and are ready to provide them with the best care. They do a lot for you and your home while you are busy at work, and they deserve the best quality insurance.

However, when purchasing domestic worker insurance, it is important to understand the policy and go through with your employee what is covered and what is not. Each insurance policy may differ.


To learn more about domestic worker insurance and get the best coverage for you and your domestic workers, contact Red Asia Insurance.