RIYADH — The Ministry of Human Resources and Social Development and the Insurance Authority launched a new insurance scheme titled "Insurance Product" that aimed to protect rights of expatriate workers. The scheme that takes effect on Sunday, Oct. 6, also reduces the financial burden on workers in the event of defaulting from the part of establishments in terms of their inability to make payment of wages for a specific period of time.

The scheme will cover the dues of expatriate workers in private sector establishments in the event of default from their employers. The Insurance Product, provided through insurance companies in the Kingdom, covers the payment of expatriate workers' dues if the establishment owners default on payment of wages. The scheme will be implemented in accordance with the terms and benefits covered and determined by the insurance document as per the policies and procedures regulating it.

These benefits include, for example, a travel ticket if the expatriate worker wishes to return to his country on final exit. The launch of the Insurance Product comes within the framework of the efforts aimed at developing the labor market in the Kingdom through policies and legislation, preserving contractual rights between workers and employers, and increasing the attractiveness and efficiency of the labor market at the local and international levels.

The Insurance Product is also consistent with the package of systems and procedures established by the Ministry of Human Resources and Social Development to preserve the rights of both workers and employers, including the Wage Protection Law and documentation of contracts.

The ministry has issued a guide explaining all procedures related to the insurance product, which can be viewed by accessing the ministry's website.

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