The Philippine Ports Authority (PPA) warned the public Wednesday, Nov. 23, about unscrupulous parties charging ship passengers "additional insurance fees" prior to boarding.
The PPA has issued Memorandum Circular No. 06-2010, the “Prohibition on the mandatory sale of passenger insurance coverage” to all Port Managers nationwide.
Passengers in PPA ports should not be charged any additional insurance fees, the agency underscored.
All ship passengers are already covered by the insurance plan of the vessels they take.
Hence, they don't need any extra mandatory passenger insurance which will only inflate the cost of their fares.
Any PPA employee who charges unauthorized additional insurance fees will be charged with administrative cases, according to PPA General Manager Jay Santiago.
“Heads will roll once proven guilty of unauthorized collection of fees inside the port, including this mandatory passenger insurance," he declared.
"The PPA management is taking this matter very seriously as we are after the welfare and comfort of our passengers,” according to the GM.
Under Executive Order No. 170, the government brought down the cost of all “inter-island transportation”.
In accordance with this, the PPA issued Memorandum Circular No. 17-2003 in July 16, 2003 stating that passengers will only be required to pay terminal fees at the ports.
Shipowners, for their part, are required to insure their passengers for at least P200,000 per person to ensure their welfare if any untoward incidents happen at sea under Republic Act No. 9295, the “Domestic Shipping Development Act of 2004”.
“The law is clear. Passengers do not need to pay other fees in the ports," Santiago pointed out.
Hence, "We urge the public to report incidents of charging extra frees on top of the terminal fee."
Passengers can report these violations via the PPA's social media accounts and complaint centers.