•• I ~ •

socui, LEGISLAllO'.N.·
. SAN 8£DA LAWC£N!Rl'\~1,?EO 8All OP£FIATION_S'-.M£M'Q(!Y AID 20;9_

insurance Statt.Jtes - require the 'employer to 2. ..B_uilt throug(:1 ~oritri~utions of th~ employers .
take out insurance elther with an insurance qased or:i the sal~ries of their employees; .
. bureau operated by the state· or with a private 3.. · C.on'ti·overslori to· the right to compensation by
" company.' or to contribute to a compensation " 'tiie e~plo.iees'is nofreql.iire.d. Opposition by the

r· .
-~·
r:it,
.. fund, and If ari employee is injured, the empl_oyers {s. likewis'e discarded; . . . .
,., ,. · 'eompensahon.Ispaid by thelnsursr or from the 4. Rule on ~ggro:!vatiOf'1 of lllrie~s is· removed;
-cornpensatlon fund (1 AZUCENA,supra·at516). _ .fr. Einpi~yers' ·duty. is only ·to. pay · the regu.lar
monthly eremiums to the sch~m,e; al"\d
i;:. Enactment' . . . . 6. Empl9yee.s' Gompen~afion C~mn'ii~sioh .(ECC;)
f'.P·.o. fl!o. 62~ ?.i' _the. Em_ployees' Compensaflon administers and Settles -clai.ms fron'I a fund
~; Law (ECL), issued· on December. 27; . 1974, under ,its:exclusiv~ control. The employer do.es
·:;. · amended extensivety the· Labor Code provisions· on. 'not :rntervepe, ·as. i,n .th'e .past, .. over 'Jjayment of .
:{::. f:'mployees' -Cornpensation and. $tate Insurance · : b_et'lefits (Sarmientov. ECG, G.R. Nd. L-'65680,
.f :~
fun<J (.1'AZUGEf'/A,.~~pra at 518) ..' : ..
.' .. . . -. . . . ..
. .· Mf,y·f.1,__1988). . · .. ·i · .
i. RD.. l'.JQ .. 626 took· effect on January 1, 1975 and
t . 'applies . prospectively.. Thus: it applies, oi:ilY. to · ..' :.·V\Jork;men's Compen.sailon ~- Empl·6yees'
: . C.ompens.ation/Stateln.Sl,lrance Fund
.-: illnesses -co·ntracted · 011 -or after -that date. The · . - •,. . . "'. .
f Wor.kmen's 'Compensetlon Act c,i{CA).· applies to .
illnesses .. contracted · 'before · -thar date. The -
Workmen!$. Compensatlon Comrnlsslon was fin.allYcVi1).
aboltshed on March 31, 1976·(1 AZUCENA., s·~pqf~f(,:~\ , .
, , .518).
· · . · · I>:·· ;~, ·,
Ff"'" · ~"t Act No 3428
~-· . ARTICLE 172: POLICY . . . . .. . . ~ /.::, -~:·r . : . . ·
. ,'['i
. The· Sta~e .~hall .pr~mote ';1.nd develop a t~~~~~em~iQ'[;!~ f!.t~~·r:t .
employees'. compensation · .. progra~---:.,,.wher.eby, ~1 . , , • • • • • • • • 1
employees 'and their dependents, irf.Jhe.~evt¥rit_gt:~tl -, . . ;J • I\ · . . _.. ·
work-connected disability· or death, ffl~Y.iPrbr,QP.tl¥"'.- l There is ii' Ji,esump,tion Presurnptlori
. secure -adequate income b~nef!j,~;;i,:foJ- ;~e'dical r.~ - . ·. of
·.of compe'~~<)'~iljfy,·,onc~ cornpensablllty in_ fav<?r
!
f·· ,. related benefits (LAB~R. CO~re·rf.~s~~~., ~~ r::i .
:~j~~;,~~~t~~~~t~~= ~~ol;~~~ ·:x'?;~~ei~.. t~! 'I,
!

W St~te_l,rsura~ce.Fund ... ~ { =~.J;··ti ~..,.. . ~;·:1 ·. in '..:. t![i;1{;.:e,q.1:frse-t;P of case .of polic.~men and I·
~' . The Labor Coc!e.adopts the compensttl.C}':1;'!"~1.n?,ty,J)~{ t',,,r emplo~e·rffrttf.ie.µ,legal members· .of· the AFP
0

~· ~IJ' c_overed employers are re9ffil'f~9-:;,r1~'t. ~o ia· · !1.f . pres·4m·ption, , . iri · the sui:;h t.hat the, moment. an
J:·,. . 9ommof.i. f~R9. ~ mor:it~ly c1;mtn~otictn...,eciui~~lent 'to · I ?rt;.. -pb~ence· of substantial AFP·. ~13mber suffers.- a
I
~- 1% of the monthly salary 9red1t of e:~~IY:>overed . /r,·.,t' evtaetllce_ · lo ·. the ,contingency, · .. · · the
{- . en,,ployee. Th~ employ_ee pa~~ no co'r$.J~ution5.~,,~'"1..,t::...:t.:~c/S~fr~~as .that.. 'the pr~sutnption is th~_t it _is .
~, . fund. Any_ agreement to.
!hE'.l c-qntr.ary,!~ pro?~l>J!ed, claim·· for' compens.a!ion ·~ec;ause of the r:rature 9f.
f. Tbis. ;makes up . the Stat~. ·lnsurano~.:£ttl~d' (1. ca,:n? . ·, .
wit~in .... the. ~i.s wo~k . (Ecc· Board
i:... .Afµ6Ef:IA supra at/5,17). . prov,~r.ons of.· · ttie: .f;?f!SO/uti,;m No~ 39Q8):
f. · · .- · ·. · · · · . · · ·· · : • compensation .law'· (1 ·.
~ . Mechanics of S.tate-Jnsui:anc!:! Fund ..· AZUCENA' . .. · · ·. t
.:.· . A sta(e insural)ce fund is)>uir~· Lip_ by the cont_ril?~tibAf .. ,,20) : ; ., • . s_upra · ~
o· ·· ··q(' employers. ba.sed o.n. th_s : salaries·: -o.f .. their v· - : ·
":: . · err,P1oyees. :The . injured w.orker · ~oes not. hav~. tO .~ ·
: litlg'ate hi~· 'right. to. cai'l)pensatlon. H~··sifr1ply files a· ,
· claim, with ·the .... new neutral... ·Employee's· No re'ed.. tq pre.sent Proof. of
causation is
Compensation -Co.rnmis.si°onwhic~ then deMrn'lines· · p'(oof ..of c~u·satibn ·(1 needed:'if.the disease is
whether or. not. compensation . may . be paid. (1 . AZUCENA, supra_ at ~qf listed (1 AZU9~1'/A,
:POQUJZ, sup,:a at' 507j.. ': . . . . ; -520); . _s'tJpra·at 521}: ·.:.
. ·: N~~~re of . th~ . ~tale'. insurance .Fi;l.nd, '(SIF):.
(C3APS) .. . . ·. . . . The.burden ~fpr.oo{that' Un.der th1;3 present ·,aw, ·.
. 1: P,resul'f1ptlon of ·,g,.om_p_ensabili.tyin· fav<?r. of the_ the' illness did nor arise 'for a ;:in . emplbye_e. (o l?~
.. ·:··workmen· is abolished.(Sa'rm/entov.. E(:c,·.G.R.: out of employnienl, orat entitled' ti:> -~ickness or
··:No,. L.,~65680,.. May 1.1, 1988); except in .the case least ~ggrav~ed 'by it, death benefits, . the
. of policemen-and members of the ·Arn'lep-F~rces .
· ....... of the .Philippines (Ar:;:P), the. pre'sumpUQnarises.' .
fEill.-on the employer\,. sickness . or . death
shou)ders. The re~ulting therefrom. must
· from· the nature of · their wo.rk provided·· th!3t-: en:1pl_6yeehas .no·duty_to be, or mus_t have resulted
'evide_ntiarydi9taJls:of injury or d~ath:are clearly - .show: . causatlon : (1. fro!'fl:.
established (ECC-Bo~rd _Resol~tionNo. 3908); · .

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. . . SAN SEDA LAW CENTRALIZED
. SAR OPERATIONS
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