UAE announces mandatory health insurance for private sector employees from 2025

UAE mandatory health insurance

The United Arab Emirates (UAE) has recently announced a significant policy change that will impact both private sector employees and domestic workers. Starting from January 1, 2025, it will become mandatory for employers to provide health insurance coverage for their registered workers when issuing or renewing residency permits. This decision marks a crucial step towards ensuring access to quality healthcare for the sizable private sector workforce in the country.

The new mandatory health insurance scheme, approved by the UAE Cabinet, extends coverage to private sector employees and domestic workers who currently lack health insurance. Employers will bear the responsibility of covering the costs associated with this insurance. Notably, this requirement aligns with existing laws in Abu Dhabi and Dubai, where employers are already obligated to provide health insurance for their employees. In Abu Dhabi, the mandatory scheme encompasses both employees and their families, ensuring comprehensive coverage.

Recognizing the importance of ensuring the well-being of the workforce, the Ministry of Human Resources and Emiratisation (MoHRE) will undertake awareness campaigns and programs to facilitate the implementation of the scheme. This initiative underscores the government's commitment to safeguarding the rights and welfare of workers across the UAE.

This mandate represents the second major insurance requirement introduced for employees in the UAE. In the previous year, a scheme was implemented to protect workers from job loss, with over 7.2 million employees from both private and federal government sectors currently enrolled in the program. Such initiatives aim to enhance the overall protection and stability of the workforce, contributing to the resilience and competitiveness of the national economy.

During the Cabinet meeting chaired by Sheikh Mohammed bin Rashid, Vice-President and Prime Minister of the UAE, it was noted that 98.8 percent of the country's workforce is already covered under the Workers' Protection Programme. This program safeguards workers' wages and entitlements in the event of employer bankruptcy, ensuring their financial security. Sheikh Mohammed emphasized the pivotal role of the workforce in driving economic growth and underscored the importance of addressing their concerns and upholding their rights.

In addition to the healthcare initiative, the UAE Cabinet approved several other measures aimed at enhancing societal well-being and safeguarding the interests of its citizens. Notably, the validity period of Emirati passports for individuals aged 21 and above will be extended from five to ten years, streamlining administrative procedures and facilitating travel for citizens. This decision reflects the government's commitment to providing efficient services and facilitating the mobility of its citizens.

Furthermore, the Digital Wellbeing Council undertook proactive measures to protect the youth from harmful online content. Over 160,000 websites and social media accounts promoting substance abuse were shut down, demonstrating the government's commitment to combatting illicit activities and safeguarding the well-being of its youth. Additionally, more than 2,700 websites promoting illegal activities such as online scams and phishing were blocked, underscoring the importance of cybersecurity and digital safety.

Sheikh Mohammed emphasized the pivotal role of families, media, and schools in nurturing awareness and resilience among the younger generation. Protecting children from online threats and promoting a safe and nurturing environment are paramount to ensuring the well-being and prosperity of future generations. Collaborative efforts across various sectors are essential in safeguarding the nation's most valuable asset—its youth.

In summary, the UAE's announcement of mandatory health insurance for private sector employees and domestic workers represents a significant step towards ensuring comprehensive healthcare coverage and safeguarding the welfare of its workforce. This initiative, coupled with other measures aimed at enhancing societal well-being and protecting citizens' interests, underscores the government's commitment to fostering a prosperous and resilient nation.