UAE launches competitively priced health insurance package for private sector employees, domestic workers

The Ministry of Human Resources and Emiratisation (MoHRE) has launched a basic health insurance package for private sector employees and domestic workers across the UAE who are not currently covered by any insurance, as part of the Health Insurance Scheme approved by the UAE Cabinet.

The initiative is launched in collaboration with the Federal Authority for Identity, Citizenship, Customs, and Port Security, and the Ministry of Health and Prevention, and in coordination with a number of insurance companies.

Based on the Cabinet Decision issued in that regard, the Health Insurance Scheme will extend coverage to private sector workers in Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah, and Fujairah starting from 1 January 2025, thus ensuring that 100 per cent of workers in the UAE are covered by insurance. The system is already implemented on a mandatory basis in Abu Dhabi and Dubai, covering employees in private companies and domestic workers.

Employers are required to purchase the new health insurance policy as a prerequisite for issuing or renewing residency permits. However, the mandate does not apply to employees with work permits issued before 1 January 2024 that remain valid, and will only become mandatory when their residency permits are due for renewal.

Khalil Al Khoori, Undersecretary of Labour Market and Emiratisation Operations at MoHRE, said: “The Health Insurance Scheme reflects the UAE’s commitment to extending the comprehensive protection system to all workers across the labour market, ensuring a decent life for all by providing access to high-quality healthcare services for private sector employees and domestic workers.”

“The initiative represents another major milestone in the series of accomplishments seen across the UAE labour market,” he added. “It forms part of a comprehensive vision to expand the integrated social protection umbrella, which includes the Worker Protection Programme, Unemployment Insurance Scheme, and the voluntary alternative end-of-service benefits system known as the ‘Savings Scheme’. These efforts reinforce the commitment to providing a secure, healthy work environment and improving quality of life for all workers.”

“The new Health Insurance Scheme in the UAE is poised to have a notable positive impact on the competitiveness of the country’s labour market, improving performance on key indicators related to quality of life, protection of rights, and social and healthcare security,” Al Khoori noted. “It is also expected to benefit workers and employers by reducing the financial costs associated with medical treatment and unpaid sick leave uninsured workers typically need to take.”

For his part, Major General Saeed Salem Balhas Al Shamsi, Acting Director General of Identity and Foreigners Affairs at the Federal Authority for Identity, Citizenship, Customs, and Port Security, asserted that: “Launching the new basic Health Insurance Scheme for private sector employees and domestic workers is a critical step towards completing the UAE’s health insurance framework and providing healthcare to all groups. This essential step aligns with the wise leadership’s vision to enhance the community’s quality of life, uphold human rights, and ensure healthcare access for all. It is set to boost productivity and support sustainable development while advancing the UAE’s leadership and global competitiveness across international indicators.”

He added that the approval of the health insurance system reflects the UAE’s humanitarian and civilised commitment, reaffirming its dedication to upholding international human rights conventions and providing healthcare to all residents on its land.

“The Federal Authority for Identity and Citizenship, Customs, and Ports Security is pleased to be playing its part in this plan to enhance the competitiveness and attractiveness of the UAE labour market, by establishing an electronic link with our strategic partners including Ministries, government entities, and private sector institutions – particularly in the insurance industry,” Al Shamsi continued. “The Authority’s role is to verify that workers in the private and business sectors, as well as domestic workers, are covered by insurance before issuing residencies, in an effort to protect workers’ rights and ensure they receive healthcare. This is one of their basic rights, mandated by laws regulating the UAE labour market.”

Meanwhile, Dr. Mohammed Salim Al Olama, Undersecretary at the Ministry of Health and Prevention, noted that: “Launching the Health Insurance Scheme for private sector employees and domestic workers forms part of an integrated framework of national efforts that strive to enhance quality of life in the UAE and ensure the sustainability of healthcare services. The system reflects our commitment at the Ministry of Health and Prevention to enhancing quality and developing a sustainable and inclusive healthcare system. It expands insurance coverage to include groups previously not covered, providing them with access to high-quality health services.”

“The new Scheme will strengthen the health ecosystem, expand the scope of its services to include all groups, and establish a more stable and advanced environment,” Dr. Al Olama added. “It will also enhance early disease detection mechanisms, improve preparedness for health emergencies, and support chronic disease prevention, in line with the Ministry’s overarching strategy to establish a preventative and integrated healthcare system through innovative policies, public health programmes, and proactive public health services.”

“This initiative enhances the outcomes of the ‘Riayati’ platform, the integrated digital healthcare system that forms part of the National Unified Medical Record (NUMR) and Population Health Management projects,” Al Olama explained. “Including these groups under insurance coverage serves to expand our national health database, making it more comprehensive and accurate, thereby enhancing our capabilities for health research, strategic planning, and more efficient resource allocation. These efforts contribute towards the integrated development of the healthcare sector, boosting its competitiveness and alignment with the UAE’s goals and priorities.”

Basic Health Insurance Package

The newly introduced insurance package targeting private sector workers and domestic workers is available through the DubaiCare Network, and stands out for its competitive price with nominal treatment costs. This reduces the financial burden on employers, where the cost associated with this policy is significantly lower than the treatment expenses employers might otherwise bear for their workers, which significantly cuts operational costs.

The policy is valid for two years, and the second-year premium can be refunded if the visa is cancelled. The basic insurance package costs AED320 per year, with no waiting period for workers suffering from chronic illnesses. It covers individuals aged 1 to 64 years, while those over this age must complete a medical disclosure form and attach recent medical reports.

The package covers treatment expenses with a 20% co-payment for inpatient care (i.e. patients hospitalised for medical treatment or surgeries). The insured pays a maximum of AED500 per visit with an annual cap of Dhs1,000, including medications. Beyond these limits, the insurance company covers 100% of treatment costs.

As for outpatient care (patients requiring medical visits, diagnostic tests, or minor procedures that do not necessitate a hospital stay), the co-payment is 25%, where the insured pays a maximum of Dhs100 per visit. No co-payment is required for follow-up visits for the same condition within seven days, while co-payments for medications are capped at 30 per cent with an annual cap of Dhs1,500.

The network includes seven hospitals, 46 clinics and medical centres, and 45 pharmacies. Dependents from the worker’s family can access the same benefits and pricing, as specified in the insurance policy.

Starting from 1 January 2025, employers can either purchase the new insurance package via the DubaiCare Network, or any other product from accredited insurance companies through various channels, including the Insurance Pool website and smart application, as well as business service centres across the country.

For more information and to explore the various insurance packages, employers can visit the websites of the Ministry of Human Resources and Emiratisation, the Federal Authority for Identity, Citizenship, Customs, and Port Security, and the Ministry of Health and Prevention.