Duterte creates panel to ensure government assets are insured

MANILA, Philippines — President Rodrigo Duterte has formed a committee that will craft policies to ensure that the key properties and assets of the government are adequately insured.

 

The creation of the Inter-Agency Committee on Government Property Insurance is contained in Administrative Order No. 4 issued on August 7.

 

Duterte said some government assets remain uninsured despite laws requiring state entities to insure their properties and other interests against any insurable risk.

 

“The Commission on Audit indicated in its reports that there are still agencies whose properties, assets, facilities and other insurable interests are currently not insured or substantially underinsured, thereby not providing them with adequate insurance protection,” the President said in the order.

 

Duterte noted that P1 billion has been allotted under this year’s National Disaster Risk Reduction and Management Fund for the insurance coverage of government facilities against natural calamities, subject to the guidelines to be issued by the budget and finance departments and the Government Service Insurance System (GSIS).

 

“There is a need to prescribe the necessary policies, rules and regulations to ensure that the key properties, assets and other interests of the government, especially the high-risk items, are provided with comprehensive and insurance coverage,” Duterte said.

 

The Inter-Agency Committee on Government Property Insurance will formulate policies, rules and regulations to ensure that key properties, assets and other insurable interests of the government are insured comprehensively and adequately.

 

The Department of Finance (DOF) will be the chairman of the committee while the Office of the Executive Secretary will serve as its co-chairman. Other members of the committee are the Budget department, the Insurance Commission, and the GSIS. The committee will consult other agencies and other stakeholders in the crafting of the policies.

 

The committee will also develop the monitoring and reporting mechanisms to ensure that all key properties, assets, facilities and other insurable interests of the government are insured comprehensively and adequately.

 

It will also assess the use and management of the General Insurance Fund administered by the GSIS and review and evaluate the existing inventory of state assets that are actively insured.

 

The committee will likewise define and determine high-risk key government properties, assets and other public facilities that should be insured annually and propose legislative measures or executive issuances regarding insuring government possessions.

 

The committee was tasked to submit a report to the President within one year after it is convened. It will cease to exist after it has submitted the report.

 

The DOF shall continue to perform the activities related to insuring the government’s assets after the committee is dissolved.