Sending Employees to Work in Foreign Countries
Texas employees traveling in foreign countries are covered under the Texas workers' compensation policy for Texas benefits if they meet the "significant contacts" or "principal location" tests mentioned in the previous article, “Hiring or Sending Employees to Work in Other States.”
The benefits provided by the workers’ compensation law may not be sufficient, however, for serious injury, illness or death. For that reason, SwingleCollins recommends that you purchase foreign workers compensation coverage, which is available either as an addition to your Texas workers’ compensation policy or on a separate policy.
Coverage applies only to employees hired in the U.S. while traveling or temporarily residing outside the country and includes:
- Coverage for workers' compensation benefits payable according to benefit schedules prescribed by state law. Benefits are payable for injury and occupational disease, as well as for "endemic" disease" (a disease common to the foreign country but not to the U.S.);
- Liability coverage in case the employee (or his or her family) files suit against you; and
- Coverage for the expense to transport the injured employee (or the body, if the employee is deceased) back to the U.S. (This is called "repatriation" coverage.)
When foreign workers' compensation coverage is provided, the workers' compensation policy providing coverage on Texas and other domestic operations is endorsed to exclude coverage while employees are traveling out of the country to avoid duplicate coverage and premium expense.