In 2006, Abu Dhabi introduced compulsory employer-funded medical insurance, with Dubai following suit in 2016. This made it mandatory to have medical insurance in order to live and work within these emirates, with the consequences of pricey fines and penalties for those not equipped.
If you’re planning a move to the UAE, it can be confusing to understand the medical insurance laws. In this article we aim to explain medical insurance laws in the UAE, helping you make a difficult life event a little easier to handle.
Pre-2025 Laws for Medical Insurance in the UAE
Before 2025, the remaining five emirates within the UAE, Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah, and Fujairah, provided optional medical insurance for their employees, which differed greatly from laws in Dubai and Abu Dhabi.
In 2006, Abu Dhabi made it compulsory for employers to provide employees with a basic healthcare plan which included general practitioner consultations, specialist care, maternity services, emergency treatment, and other essential healthcare services. They also wanted to ensure that employers offered medical insurance to their employees and dependents.
Dubai followed suit in 2016 ensuring their employers were responsible for medical insurance to their employees and dependents. They introduced an Essential Benefits Plan (EBP) which mandates a minimum level of coverage for residents including outpatient services, inpatient treatments, maternity care, and emergency services. Only DHA-approved insurance companies can offer medical insurance in Dubai, enforcing high policy standards and requirements.
Mandatory Employer-Funded Medical Insurance for Entire of the UAE
From January 1st, 2025, employers in the private sector will be required to provide medical insurance coverage to their employees and domestic workers in the remaining five emirates. This new decision will extend the current law in Dubai and Abu Dhabi to the entire UAE, and it will become mandatory for employers to provide medical insurance for workers.
If you are already living and working in the UAE with a valid work permit issued before 1st January 2025, then you will be exempt until your permit comes up for renewal. This new policy becomes mandatory upon residency permit renewal.
Key Takeaways of the 2025 Medical Insurance Laws
Some of the key questions that we are frequently asked here at IAE include:
Q: Who is covered in the new policy?
A: The new medical insurance laws in the UAE apply to employees of all private sector businesses in all emirates.
Q: Does the policy extend to employee’s families?
A: According to the Ministry of Human Resources and Emiratisation (MOHRE), dependents from the employee’s family can also access the same benefits and pricing.
Q: Who is responsible for purchasing medical insurance?
A: In the new laws, employers are responsible for obtaining medical insurance policies as a condition for issuing or renewing residency permits. Employers can purchase the new policy through any accredited insurance provider.
Q: Is medical insurance mandatory for UAE residency permits?
A: Yes, medical insurance is a mandatory requirement for UAE residency permits. A key implementing body for the new policy, the ICP, ensures that workers in the private and domestic sectors are insured before issuing or renewing residency permits.
Q: What are the consequences of not being covered by medical insurance?
A: Fines and penalties can be issued to those not covered by medical insurance, including their employers, dependents, and spouses.
What is the Cost of Medical Insurance in the UAE?
The cost of basic medical insurance in the UAE is designed to be affordable and inclusive to a range of residents, including those on a lower income. Depending on the level of coverage, basic plans can start at around AED 320 per year and include access for dependents.
Basic vs. Premium Medical Insurance
Basic medical insurance focuses on providing essential medical services including primary healthcare, emergency medical treatments, and essential medications. They are designed to meet the needs of those on a lower income but can also include coverage for consultations, diagnostic tests, and preventative care. Premium medical insurance offers a more extensive range of services including access to specialist consultations, advanced diagnostic procedures, and elective treatments. For individuals and their families who require more comprehensive coverage, premium medical insurance is advisable— a medical insurance specialist such as IAE would be able to recommend the best plan for your needs.
How a Medical Insurance Specialist Can Help With Your Healthcare in 2025
If you’re wondering what the new medical insurance laws mean for you then get in touch with our helpful team of medical insurance specialists at IAE Insure today. We will ensure you get the correct coverage for the mandatory laws across all emirates, and we tailor these policies to meet your unique needs.
Contact IAE today, your medical insurance specialist in the UAE.
