US based workers compensation may be available for US employees
“temporarily” outside of the country, but beyond that
separate insurance must be obtained based on the laws of the specific
country. In many countries, China included, the insurance of employee
injury is reserved to state institutions, and cannot be provided
by private insurers. Diligence should be applied to satisfying these
requirements. No assumptions should be made. Injury to employees,
especially where insurance is lacking, can lead to criminal prosecution
The laws of
China governing “Employment of Foreigners in China”
call for regulation of foreign employees in China of any duration
unless they are representatives of “permanent offices of foreign
enterprises in China.” Further, you must be aware of how the
law treats “independent contractors” or pseudo independent
contractors. In other words, compliance is a complicated process.
Additionally, a master policy should be purchased in the US supplementing
the foreign coverage with Foreign Voluntary Compensation, Endemic
Disease and Repatriation Expense.
will be driving in China, care should be given with respect to complying
with China’s compulsory insurance law, but at the same time,
a master policy should be purchased in the US to be excess and to
wrap around the local coverage. This is another area where criminal
prosecution can result if due diligence is not applied.
by side with you, we design and implement risk management programs
which will protect your employees in China, and as a result protect
in China are not as docile as we might at
For a sense of this, see www.ChinaLaborWatch.org.
Their mission is “the realization and defense of labor
rights in China.”