The recent hijacking of the fishing vessel Qing Feng Hua 168 by Somalian pirates, and the murder of a sailor of that vessel are perhaps apt illustrations of the dangers and risks that Chinese workers face when venturing overseas.

Piracy represents just one spectre of the dangers that overseas Chinese face today.

On March 14, 2004, nine Chinese workers of CNPC Kazakistan Company Limited were killed during debris flow at Tardbrock Village, in the suburb of Alma-ata, the former capital of Kazakistan. On June 10, 2004, an armed gang broke into the Kunduz highway project asphalt mixing site contracted by the 14th Bureau of China Railway Construction Corp, killing 11 and injuring four. On February 15, 2005, a terrorist attack targeting the Chinese occurred at Hub Town, Baluchistan, Pakistan, resulting in the death of three Chinese engineers.

No doubt, globalisation has opened up more opportunities for Chinese enterprises to contract overseas projects and, as a result, to send employees to work overseas. This has happened in tandem with strong economic growth and development of China’s economy. According to statistics, some 200,000 to 300,000 labourers are sent overseas each year. As of the end of 2007, there were 4.62 million Chinese working in over 100 countries, extensively distributed across industries such as manufacturing, farming, forestry, animal husbandry and fishery, transportation, construction and mining. As China's overseas interests continue to expand, the safety of its overseas personnel is becoming an increasing concern.

Given the rising political uncertainties as well as the dangers that Chinese workers face from natural disasters, in July 2008 Premier Wen Jiabao signed a decree requiring companies and organisations contracting foreign projects to undertake the purchase of personal accident insurance for employees sent to work overseas. The decree also requires companies undertaking foreign projects to maintain imprest funds to cater for any emergency situation that employees may face, either in their personal capacities, at home, or as compensation for the loss of life. The decree came into effect on September 1, 2008.

In 2007, an engineer from a domestic communications company working in Ulan Bator, Mongolia, was taken hostage and sustained a serious head injury. He was evacuated home for treatment, and because the employer had purchased personal accident insurance, the cost of the emergency evacuation was fully covered by the insurance company.

These cases illustrate how a comprehensive personal accident insurance scheme enhances employee benefits, providing greater peace of mind to employees who are sent overseas.

Personal Accident plans are flexible – they can be customised according to needs and budgets, as well as location and the type of work and industry of the assignment.

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