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PD 626 CHAPTER VIII

Article 193–202 · 10 provisions

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails.Read the official text ↗

Relationship and dependency.

Article 193

ART. 193. Relationship and dependency. — All questions of relationship and dependency shall be determined as of the time of death.

Delinquent contributions.

Article 194

ART. 194. Delinquent contributions. — (a) An employer who is delinquent in his contributions shall be liable to the System for the benefits which may have been paid by the System to his employees or their dependents, and any benefit and expenses to which such employer is liable shall constitute a lien on all his property, real or personal, which is hereby declared to be preferred to any credit except taxes. The payment of the employer of the lump sum equivalent of such liability shall absolve him from the payment of the delinquent contributions and penalty thereon with respect to the employee concerned. Failure or refusal of the employer to pay or remit the contributions herein prescribed shall not prejudice the right of the employee or his dependents to the benefits under this Title. If the sickness, injury, disability or death occurs before the System receives any report of the name of his employee, the employer shall be liable to the System for the lump sum equivalent of the benefits to which such employee or his dependents may be entitled.

Second injuries.

Article 195

ART. 195. Second injuries. — If any employee under permanent partial disability suffers another injury which results in a compensable disability greater than the previous injury, the State Insurance Fund shall be liable for the income benefit of the new disability Provided, That if the new disability is related to the previous disability, the System shall be liable only for the difference in income benefits.

Assignment of benefits.

Article 196

ART. 196. Assignment of benefits. — No claim for compensation under this Title is transferable, or liable to tax, attachment, garnishment, levy or seizure by or under any legal process whatsoever, either before or after receipt by the person or persons entitled thereto, except to pay any debt of the employee to the System.

Earned benefits.

Article 197

ART. 197. Earned benefits. — Income benefits shall, with respect to any period of disability, be payable in accordance with this Title to an employee who is entitled to receive wages, salaries or allowance for holidays, vacation or sick leaves, and any award or benefit under a collective bargaining or other agreement.

Safety devices.

Article 198

ART. 198. Safety devices. — In case the employee's injury or death was due to the failure of the employer to comply with any law, or to install and maintain safety devices, or take other precautions for the prevention of injury, said employer shall pay to the State Insurance Fund a penalty of twenty five percent of the lump sum equivalent of the income benefit payable by the System to the employee. All employees, especially those who should have been paying a rate of contribution higher than that required of them under this Title, are enjoined to undertake and strengthen measures for the occupational health and safety of their employees.

Prescriptive period.

Article 199

ART. 199. Prescriptive period. — No claim for compensation shall be given due course unless notice thereof has been given to the employer in accordance with the provisions herein, except when said notice is not required. The right to compensation shall be barred unless said claim is filed with the System within one year from notice to the employer.

Erroneous payment.

Article 200

ART. 200. Erroneous payment. — (a) If the System in good faith pay income benefit to a dependent who is inferior in right to another dependent or with whom another dependent is entitled to share, such payments shall discharge the System from liability, unless and until such other dependent notifies the System of his claim prior to the payments. In case of doubts as to the respective rights of rival claimants, the System is hereby empowered to determine as to whom payment should be made in accordance with such regulations as the Commission may approve. If the money is payable to a minor or incompetent, payment shall be made by the System to such person or persons as it may consider to be best qualified to take care and dispose of the minor's or incompetent's property for his benefit.

Prohibition.

Article 201

ART. 201. Prohibition. — No agent, attorney or other person pursuing or in charge of the preparation or filing of any claim for benefit under this Title shall demand or charge for his services any fee, and any stipulation to the contrary shall be null and void. The retention or deduction of any amount from any benefit granted under this Title for the payment of fees such services is prohibited. Violation of any provision of this Article shall be punished by a fine of not less than five hundred pesos nor more than five thousand pesos, or imprisonment for not less than sixty months nor more than one year, or both, at the discretion of the court.

Exemption from levy, tax, etc.

Article 202

ART. 202. Exemption from levy, tax, etc. — All laws to the contrary notwithstanding, the State Insurance Fund and all its assets shall be exempt from any tax, fee, charge, levy, or customs, or import duty, and no law hereafter enacted shall apply to the State Insurance Fund unless it is provided therein that the same is applicable by expressly stating its name.

Back to PD 626 — full text

Provisions on this page are reproduced verbatim from official open data. See the attribution line.

Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).