New regulations to ease insurance access for OFWs

The Insurance Commission (IC) in the Philippines plans to release new regulations this year to make it easier for overseas Filipino workers (OFWs) to buy insurance. These rules have been delayed but are now getting closer to approval. IC Commissioner Reynaldo Regalado spoke to reporters about the progress. He mentioned ongoing discussions with the Department of Migrant Workers (DMW) about the regulations. The focus is also on implementing the Magna Carta of Filipino Seafarers, which was signed into law in September 2024. This law requires proper insurance coverage for Filipino seafarers. Currently, local insurers can only sell insurance to people in the Philippines. OFWs cannot buy these products while abroad. This restriction limits their access to life insurance, leaving them with minimal protection for retirement. Recent data from the central bank shows that cash remittances from OFWs increased by 2.9 percent in January, totaling $2.92 billion. The insurance industry sees this as an opportunity to attract more OFW clients, aiming to improve insurance coverage in the country. Regalado noted that the upcoming regulations would help set appropriate prices for insurance plans. These prices will take into account the risks that OFWs face based on their jobs and the countries they work in.