Sep 16, 2020maritime lawseafarersdisability benefitspoea-secpre-existing illnesspeme

Seafarers Concealing Pre-Existing Illness: Impact on Disability Benefits Claims

Learn how the Supreme Court ruled that a seafarer's concealment of pre-existing illness in the PEME bars disability claims.


The Supreme Court has ruled that a seafarer who knowingly conceals a pre-existing illness during the pre-employment medical examination (PEME) is disqualified from receiving disability benefits, even if the illness later manifests during the employment contract. The case of Trans-Global Maritime Agency, Inc. v. Utanes (G.R. No. 236498, September 16, 2020) clarifies that fraudulent misrepresentation in the PEME unconditionally bars a seafarer's right to compensation.

The Facts of the Case

Magno T. Utanes was hired as an Oiler on board a vessel for a nine-month contract. He was declared fit for sea duty after his PEME. In January 2015, he suffered severe chest pain and was eventually repatriated in May 2015. Upon return, he was treated for coronary artery disease by company-designated physicians.

In September 2015, Utanes disclosed that he had been diagnosed with coronary artery disease as early as 2009 and had undergone a percutaneous coronary intervention. His PEME, however, showed he ticked "No" when asked about high blood pressure and heart disease. The company stopped his treatment, and Utanes filed a complaint for disability benefits.

The Legal Issue

The central issue was whether Utanes was entitled to permanent and total disability benefits despite his concealment of a pre-existing heart condition in his PEME.

The Supreme Court's Ruling

The Court ruled in favor of the employer, reversing the decisions of the labor tribunals and the Court of Appeals. The Court held that Utanes' concealment disqualified him from receiving disability benefits.

Section 20, paragraph E of the POEA-SEC provides that a seafarer who knowingly conceals a pre-existing illness or condition in the PEME shall be liable for misrepresentation and shall be disqualified from any compensation and benefits. The Court emphasized that this rule penalizes seafarers who hide information to pass the medical examination.

Why the Concealment Mattered

The Court found that Utanes' PEME did not indicate any heart condition, and he signed the certificate acknowledging its contents. The company-designated doctor's report later revealed that Utanes had a history of coronary artery disease since 2009. This was a clear case of concealment.

The Court noted that it is immaterial that the misrepresentation was discovered during treatment. The medical attention extended by the company-appointed physicians cannot cancel out the seafarer's deception. Citing previous cases, the Court consistently disqualified seafarers from claiming benefits when concealment was discovered at any point—whether during treatment, after a final assessment, or even at the port of assignment.

The PEME Is Not Exploratory

The Court reiterated that a PEME is not exploratory or a thorough examination of an applicant's medical condition. It is merely a summary examination to determine fitness for sea service. Therefore, a "fit to work" declaration does not conclusively prove the seafarer was free from any ailment before deployment.

Failure to Prove Work-Relatedness

Even if the concealment were disregarded, the Court found that Utanes' claim would still fail. While coronary artery disease is listed as an occupational disease under Section 32-A of the POEA-SEC, the seafarer must prove certain conditions were met—such as an acute exacerbation precipitated by unusual strain at work. Utanes failed to present sufficient evidence showing how his working conditions contributed to or aggravated his illness.

Practical Takeaways

  • Always disclose medical history truthfully. A seafarer who knowingly conceals a pre-existing illness in the PEME is disqualified from disability benefits.
  • Concealment cannot be cured by later treatment. Medical attention extended by company doctors does not erase the effects of fraudulent misrepresentation.
  • A PEME is not a guarantee of fitness. It is only a summary examination; a "fit to work" declaration does not prove absence of pre-existing conditions.
  • Proving work-relatedness requires evidence. For occupational diseases, seafarers must show their work involved the risk and that the disease was contracted due to exposure.
  • The burden of proof is on the seafarer. Claims must be supported by substantial evidence, not general statements about harsh working conditions.

This article is general information and not legal advice. For your specific situation, consult a lawyer or ask ASG Legal AI.

This article is general information and not legal advice. For your situation, ask ASG Legal AI or book a consultation.