Dubai: Stiff financial penalties, blacklisting and even non-renewal of trade licence are some of the punitive measures planned against companies that do not provide mandatory health insurance to employees, Gulf News has learnt.
Noting that Phase I of implementing the mandatory health insurance was completed on schedule, Dr Haidar Al Yousuf, director of Health Funding at Dubai Health Authority (DHA), told Gulf News that most companies in Phase II, which must be completed by July 31, have complied.
“We are in the process of drawing out a full list of penalties, which will be declared soon,” Dr Al Yousuf said. “To begin with, companies that do not comply will have to pay a fine per person, every month.
The fine will definitely be higher than the basic insurance package. Eventually, we will block the renewal of existing visas, blacklist, or even block trade licence renewal. Our sole objective is to get employees the health benefits that will accrue to them through the mandatory cover.”
The DHA has partnered with the General Directorate of Residency and Foreign Affairs (GDRFA) to link the mandatory health insurance to the issuance of new and renewal of existing visas with effect from August 1. This rule will apply to companies that have been covered upto Phase II of the programme.
The DHA implemented the phased rollout of the mandatory health insurance scheme in February last year. This is in line with Health Insurance Law No 11 of 2013 decreed by His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai.
Phase I that ended on October 31, last year, covered all companies with more than 1,000 employees. Phase II that ends on July 31, covers companies with 100 to 999 employees. In Phase III that ends on June 30, 2016, covers companies with 100 or less employees. Finally, spouses, dependents and domestic workers will be brought under the insurance scheme. While it is not mandatory for companies to extend the health cover to spouses and dependents, DHA encourages employers to do so.
The aim is to ensure complete compliance so that expatriates in Dubai have access to essential health insurance. For Emiratis in Dubai, the DHA has introduced the Saada health insurance scheme. The Enaya health insurance scheme is already in place for government employees.
Humaid Mohammad Al Qutami, chairman of the DHA board, said: “When the law was introduced in November 2013, the insured population in Dubai was 1.1 million. Since the phased introduction, an additional 1.2 million people are insured, bringing the total insured population in Dubai to 2.3 million. Phase II will insure an additional 600,000 people.”
Dr Al Yousuf said employers can choose health insurance packages from 45 approved insurance companies that have Dubai Health Insurance Permits.
Stressing the multiple benefits of the programme, Dr Al Yousuf said it provides everyone in Dubai — citizens, residents and visitors — with universal access to health care and contributes to building a robust health system that is flexible and financially sustainable. “Mandatory health insurance is a tool to ensure sustainability of the health sector in Dubai, it helps promote health care investment, leads to positive competition between health players; which benefits patients and helps boost medical tourism,” he said.
Employers can find all the information they need in an Employer Information Pack downloadable from www.isahd.ae, the website dedicated to providing information on implementation of the Law.
