Your guide to Dubai's mandatory health cover scheme

Fines for failure to sign up for the mandatory health insurance scheme will not kick in just yet, announced the Dubai Health Authority (DHA). Residents are rushing to get health cover for their dependents and domestic workers in time to meet the June 30th deadline as announced earlier by the authority.
Insurance companies said they were inundated with hundreds of calls and emails as Dubai residents rushed to do last minute shopping for packages best suited for them. A number of insurance companies that Khaleej Times spoke to also said they were still finalising details of the packages on offer despite the fact that the deadline was announced three years ago.

The health authority, however, announced on Thursday that individuals and their dependents will be given a grace period of six months to get the health insurance which is compulsory by law.
The fines, amounting to Dh500 per month, will be applicable starting 2017.
"The visa link for small companies will, however, be activated soon after June 30, but individuals and families will now have until the end of the year to comply," said Dr Haider Al Yousaf, Director of Health Funding at DHA. "But we urge everyone to abide by the law, which aims to protect not only their dependents but also the sponsors.
Currently, around 60 per cent of people with Dubai visas who fall in the third category - which covers companies with 100 or less employees and includes every resident, domestic workers and dependents of employees - do not have any insurance.
Approximately 3.8 million people are on Dubai residence visas. Around 75 per cent of the Dubai population who have Dubai visas already have mandatory health insurance.
It is expected that almost 95 per cent of residents with Dubai visas will have to come under the mandatory health insurance cover within the new deadline by the year end.
 Workshops and roadshow
Starting next week, the DHA will be organising workshops and roadshows where companies that have been shortlisted to provide the basic insurance package will be invited to meet the public to ease the insurance process further.
Dr Haider said there have been many cases where a maid or a worker of an individual sponsor suddenly fell ill and required immediate surgery. "The sponsor found himself in a position where he had to pay hundreds of thousands (of dirhams) because their employee was not insured," he said.
"Having your dependents insured will not only protect and save their life in the case where they might need urgent medical intervention; it also protects the sponsor," he said, adding that if the sponsor insures the employee, they will only have to pay a small amount to get him/her medically covered for a whole year.
"However if their employee is not insured and suddenly has to be admitted to the hospital, the employee will have to cover the medical costs which can reach up to hundreds of thousands of dirhams."
Insurance companies that fail to adhere to the guidelines will face fines starting from Dh150,000 up to Dh500,000 for repeat offences. Penalties will be for offences such as breach of confidentiality, refusal to provide insurance on invalid grounds, etc.
All companies have to provide this mandatory insurance to their employees. People whose companies do not provide insurance to their families will be responsible for providing coverage to their dependents, be it their spouse, children, parents or if they sponsor domestic workers.
Married females to pay more as premium
Despite the Essential Benefits Plan (EBP) being a standardised package starting at Dh650 per annum, most companies are offering slightly different benefits and prices for certain categories of dependents.All insurance companies said married females between the ages of 18 to 45 years will have to shell out higher premiums between Dh1,600 to Dh1,750 annually.
Also, people who reside in emirates other than Dubai, but hold a Dubai visa will not be able to use this package in the emirate of their residency except for emergency medical treatment."Due to the package being affordable, there has been a high demand from individuals outside the emirate to purchase it," said Dr Haider.
The EBP is designed for those earning up to Dh4,000 or less and their dependents, for domestic workers and for elderly residents aged 65 years and above. A study has found that the cost of the basic package is less than 1.5 per cent of employees' average monthly salary.
Currently, nine companies are participating insurers with the DHA that can offer the EBP package. Over time, employers will have to cover the workers with a policy provided only by a participating insurer. Thirty-seven other companies have been approved by the DHA but are not offering the EBP.
The EBP can be purchased by any-one, including those earning more than Dh4,000 with dependents."We have been receiving at least 400 calls on an average daily inquiring about the package," said a representative from the insurance company Takaful Emarat that is among the nine companies approved by the DHA to offer the affordable package.
"People are shopping around for options and looking at prices and benefits that best suit them."Eplaining why married females have to pay more, a representative from Orient Insurance said, "This is because the pregnancy ratio is high among this age group, therefore the premium has to be set higher."
 asmaalizain@khaleejtimes.com