MANILA, Philippines – To solve the increasing number of incidents of illegal recruitment, Senate President Manny Villar pushed, on Monday, for the implementation of a “no-fault insurance system” for overseas Filipino workers (OFWs).

In a statement, Villar said this insurance system would allow victims of illegal recruitment to receive a refund from the insurer, in the form of direct payment, “regardless of [the victim’s] fault in the incident.”

“The no-fault insurance eliminates the need for victims to establish another liability or fault, through a civil case. It has proven to be an effective system as it leads to quicker settlement and reduces bureaucratic layers in resolving issues,” he added.

The insurance system would also allow OFWs to be refunded by the illegal recruiter for any money lost through debt, Villar said. He added that funds for the OFW insurance system would come from a percentage of the fees for passport processing or from the travel tax.

Villar also urged both the Senate Oversight Committee on Labor and Employment and the Department of Labor and Employment to “study the no-fault insurance system urgently” because, he said, one of eight OFWs falls victim to illegal recruiters.

“Our OFWs are leaving the country with the prospect of greener pasture for their families. But there are Filipinos who, in addition to having suffered the hardships of illegal recruitment, have to go through the complexity of legal procedures to claim indemnification or even refund of fees paid by them,” Villar said.