Employer-funded health insurance to be mandatory for entire UAE

Implemented in Abu Dhabi in 2006 and Dubai in 2014, the compulsory employer-funded health insurance will now progress to cover the whole UAE. Effective from 1 January 2025, employers in the private sector will be required to offer health insurance coverage to their employees and domestic workers in the remaining five Emirates.

The current law requires private sector employers in Dubai and Abu Dhabi to provide at minimum a basic level of health insurance coverage to employees upon issuance or renewal of an individual’s residency visa. The new decision will extend this requirement to Sharjah, Ras Al Khaimah, Ajman, Fujairah, and Umm Al Quwain, where it was previously optional for employers to provide health insurance for their workers.

The Cabinet are yet to announce specific details regarding how the mandatory scheme will be rolled out nationwide, including its implementation and whether it will be introduced in phases. Regime details including which health authority will be responsible for overseeing the scheme in the northern Emirates, the different types of benefit packages that will be available, and its costs, are expected to be confirmed soon.

AXA - Global Healthcare recently entered a partnership with UAE health insurance provider Daman to offer international private medical insurance (IPMI) in the Middle East and Africa.