Where in the World
Foreign Voluntary Workers' Compensation Insurance
The idea of going global sounds amazing, but with expansion, comes a whole new set of risks. What happens if someone is injured overseas? Does a domestic Workers’ Compensation insurance policy cover that? How would Foreign Voluntary Workers’ Compensation (FVWC) insurance work in this instance? Well, let’s take a look…
Whether an executive is traveling overseas to meet with a prospective client or an employee is placed on a temporary assignment outside of the country, FVWC insurance is beneficial to have. Though most workers’ compensation policies do provide limited coverage outside of the U.S., typically there are coverage restrictions for work-related injuries and time limits for the length of employees’ assignments abroad. FVWC picks up where the domestic policy leaves off by adding extra layers of protection.
Some of the many benefits of FVWC include:
- Business travel/medical assistance: FVWC may offer built-in travel accommodations. Some resources include travel assistance programs, travel accident insurance, reimbursements for security evacuations and medical referral and monitoring programs.
- Sickness from endemic diseases NOT excluded: Developing an endemic disease, such as malaria, while being miles away from home sounds less than ideal. Not having insurance to cover medical costs from this unfamiliar disease would be added stress. Statutory workers’ compensation policies only cover occupational diseases. If an employee develops an endemic disease outside of the U.S., medical costs would be non-compensable. FVWC insurance, however, can include the risk of indigenous diseases. In addition, it provides transportation and covers repatriation expenses that may incur.
- 24/7 coverage for work-related injuries: Employees are more vulnerable to accidents and injuries while working in an unfamiliar place. FVWC provides medical and income replacement coverage for employees who incur work-related injuries in an outside country. This policy even provides protection to employees while commuting to a regular jobsite.
Coverage options vary between insurance providers. FVWC insurance can either be added as an endorsement to a domestic workers’ compensation policy, as a separate policy or as part of a Foreign Package Policy. While international business expansion involves difficult decisions, the choice to add this coverage gives peace of mind to companies with employees out of their reach.
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