Residents in Sharjah and the Northern Emirates are set to see a reduction in health insurance premiums as the UAE prepares to implement a mandatory health insurance scheme for all employees. This initiative, scheduled to take effect on January 1, 2025, aims to provide affordable healthcare coverage for those without company-sponsored plans.
Nabil Shanawani, Assistant General Manager of the Life and Medical Division at Al-Buhaira National Insurance in Sharjah, emphasized the upcoming changes during the Insurance Meet 2024, organized by Thumbay Healthcare. “With just three months to go, Sharjah and the Northern Emirates are poised to introduce affordable basic medical insurance, mirroring Dubai’s model while aiming to reduce employers’ costs,” he stated.
The event brought together participants from various international and regional insurance companies, along with government regulators from the Dubai Healthcare Authority. It served as a platform for essential training related to the nationwide health insurance scheme.
Key Features of the Upcoming Scheme
The UAE’s mandatory health insurance scheme will cater to private sector employees and domestic workers. Industry experts predict that the healthcare costs in Sharjah and the Northern Emirates will be lower than those in Dubai and Abu Dhabi, providing significant financial relief to both employers and residents.
Shanawani noted that government departments are currently reviewing insurance plans in Abu Dhabi and Dubai to develop a basic scheme, allowing employers the flexibility to enhance benefits if necessary. “Medical insurance can be quite expensive, and higher costs could negatively impact the business environment in the region,” he added.
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Regulatory Developments
While health insurance is already mandatory for visa renewals in the Northern Emirates, requiring residents to present proof of coverage, specific regulations regarding minimum benefits and plan types are still being finalized. Further details are expected to be released in the coming months.
“The integration with insurance companies and immigration departments is already underway, allowing for real-time verification of an individual’s insurance status, which will be fully operational by January 2025,” Shanawani confirmed.
Enhancing Access to Healthcare
Experts regard this initiative as a significant step towards ensuring that residents in the Northern Emirates, many of whom currently lack health coverage, gain access to essential medical services. “Value-based care is crucial for expat workers, and access to insurance will improve health outcomes, elevate healthcare services, and enhance the overall well-being of the community,” Shanawani remarked.
Dev Maitra, Founder and Managing Director of Savington International Insurance Brokers, echoed this sentiment, stating that the health insurance premiums in the Northern Emirates will be lower compared to Dubai and Abu Dhabi. “This is the first time they are introducing a mandatory scheme like this, and it will benefit people residing in the Northern Emirates,” Maitra said.
He further mentioned that while residents will have access to hospitals in Dubai and Abu Dhabi, there may be restrictions on premium healthcare networks. Authorities are actively working to ensure that healthcare remains accessible and affordable across the country.
With the introduction of this mandatory health insurance scheme, Sharjah and the Northern Emirates are set to enhance the healthcare landscape, promising better coverage and lower costs for residents.
