Health insurance is just one of the mandatory things you should comply with if you plan to stay in the emirate of Dubai or Abu Dhabi. These emirates are strict in terms of getting health insurance, especially for expats. In fact, you will not be able to renew your residence visa if you don’t have it. For the rest of the emirates (Sharjah, Fujairah, Ajman, Umm al Quwain, and Ras Al Khaimah) it is recommended to get health insurance but not mandatory.
The UAE sees a lot of reasons why expats should adhere to the health insurance policy in the country. And if you think it’s just another cost you have incurred, you have to think twice because you will end up paying more if you will be caught working and renewing your residence visa without it.
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Health insurance is important for expats. If you think of paying for your medical bills in cash, you will find yourself struggling financially. This may be one of the reasons why the UAE is now implementing the “No health, no visa rule”, especially in Dubai and Abu Dhabi.
If you are not insured, you will pay fines and charges, which will obligate you to get your own health insurance if your employer doesn’t include it in the employment package. But, if you are under a sponsorship, you can easily contact your sponsor or your employer to get you the insurance or else, they will be the ones to pay for the penalties. Here are some of the rules to keep you updated.
How much is the fine if you will be caught without health insurance?
Health insurance in the country is mandatory for the emirates of Dubai and Abu Dhabi. Without it, your residence visa renewal will not be approved and you will have to pay a fine of AED 500 every month if you will not comply. If you will think about it, the penalty of AED 500 per month is enough already to pay for the health insurance premium. If your sponsor will pay for it, you won’t need to pay for the penalty and instead, remit the money to your family in your home country.
The reason why the UAE is imposing such penalties is for employees and employers to comply with the rules. We all know that the cost of health insurance is so expensive and the only way you can save up your healthcare cost is through health insurance. If you will not comply, you are likely to pay for the penalties and for the full cost of your medical needs. No expat wants that kind of expense.
Is health insurance mandatory?
Yes, especially in Dubai. Per the news of the DHA Director of Health Funding, the “no health insurance, no visa” policy is now valid. The rule has been activated so that new visas will not be given to expats who are renewing their residency visas. If they don’t have it yet, it is their obligation to be insured.
Who should apply for health insurance?
The health insurance should be covered by the employer or the sponsor.
Who issues health insurance?
Health insurance is usually obtained through a private transaction with health insurance companies. In the UAE, companies are working non-stop just to provide companies and individuals with their preferred health insurance. Since the passage of the new rules, insurance companies have been busy.
In fact, to address the demand for it, new companies are popping out. Health insurance institutions have seen a rise in online transactions due to the demand for more health insurance. Authorized typing centers have now obtained authorizations to help these companies process online health insurance applications. Compared to the AED 500 monthly penalty when you don’t have health insurance, you can apply for the most basic package of AED 750 per year.
Are there exemptions to the rule?
For expats who are trying to find exemptions to this rule, you won’t find any. The country is very strict in implementing this regulation. The DHA doesn’t support any company or individual who will delay getting his health insurance. Almost 98% of the population has health insurance now. New expats will be introduced to this system once they become employed in the country.
Having health insurance is very important, especially if your salary is just enough for you and your family. Don’t wait for your health to worsen before you get insurance. Follow the rules of the UAE government as this is for your own good.