The deadline for applications for cover under Dubai’s mandatory health insurance scheme has been extended, the Dubai Health Authority (DHA) has announced. However, the new deadline has not yet been specified.
This is the second extension of the deadline by the authorities in order to give enough time to those still without the insurance to obtain it. They number around 80,000, reported Gulf News. The first deadline had been extended to 31 December last year.
In a statement, the DHA said: “The Dubai Health Authority has made the decision due to the high influx of customers flocking to insurance companies in the last few days and in consideration of those who were not able to get the insurance in time due to one circumstance or another.”
More than four million or 98% of Dubai residents are now covered by the health insurance scheme, said Dr Haidar Al Yousuf, Director of Health Funding at DHA.
According to the law, which came into effect in January 2014, it is the legal responsibility of every sponsor to provide an essential insurance package – costing between AED550 (US$150) and AED700 – so that those with monthly salaries under AED4,000 receive adequate cover.
The mandatory health insurance scheme was introduced in phases. In the first phase, all employers with 1,000 or more staff had to have cover in place by 31 October 2014. In the second phase, firms with 100 to 999 employees must have cover in place by 31 July 2015, and in the third and final phase, businesses with less than 100 staff must have cover in place by 30 June 2016.
So far, 99% of employees at the 300 large companies which employ at least 1,000 staff and the 3,000 to 4,000 medium-sized businesses which have 100-999 employees have benefited from health coverage.
Dr Al Yousuf said all insurers are working non-stop to cope with the number of companies and individuals rushing to buy health insurance. He added that there has also been a large number of online transactions on insurers’ websites.
Dubai residents who fail to secure mandatory health insurance cover will face a fine of AED500 for each month that they are without the cover. Apart from the fine, no new visa will be granted and no existing visas renewed without health insurance.
AED1 = US$0.27