IAP Encourages To Make Employee Insurance Compulsory in Pakistan.

Due to uncertain law & order situations along with other hazards in day to day life, insurance is getting widespread acknowledgement in Pakistan. Insurance companies have also come up with various campaigns aimed at increasing awareness of the benefits of insurance  in the general public. The same sentiment was carried by Chairman Mr. Tahir Ahmed who was addressing a press conference at the 4^th Insurance Day observed by the Insurance Association of Pakistan on Monday.

The conference attracted a huge gathering of youth including students. There were many other activities as well such as a cricket match, family carnival and special insurance supplements. The press conference was attended by General Secretary N A Usmani, Ayaz Hussain M Gad, Hassan Ali Abdullah, Muhammad Rashid, Hussain Pirjee, Imran Mughal and Muneerul Haq. It was jointly held by Insurance Association of Pakistan and Karachi Insurance Insitute.

The chairman on this occasion demanded that insurance for employees must be made compulsory as is the case in Middle Eastern countries. It’s pertinent to mention here that the Dubai Health Authority has issued a law last year that enforces all employers to make sure that their employees have insurance in place to counter any emergency health related needs. It is paramount that this insurance is provided by the employer and  not deducted from their salaries.

It is also worth mentioning that workforce of any particular company is a treasure in itself. These days employment offers are made more lucrative by giving out additional benefits in which insurance is a highlight. It plays a crucial role in the psychology of an employee as he feels more secure and a part of the company. Hence it also curtails the employee turnover ratio which makes it a win-win situation for the employer and the employee alike and strikes by labor unions could become lesser too. In India, by offering insurance to employees, the employer can also become eligible for tax deductions under the Income Tax Act.

Chairman IAP, Mr. Tahir Ahmed also said that insurance should be mandatory for organizations that have 10 or more employees. Chairman Karachi Insurance Institute Ayaz Hussain demanded that the Pay Safety Act should be amended because the compensation rate for workplace hazards and mishaps is currently not sufficient. General Secretary N.A. Usmani reiterated that by promoting insurance, quality of life of an employee and his dependents could be improved.

What do you guys think? Is Insurance something you consider strongly while applying at any organization? More importantly does your organization offer you such benefits? Let us know in the comments section below!

Khurram Zahid