UAE: Health insurers increase deductibles in medical policies
Source: Middle East Insurance Review | Jan 2023
Several insurers in the UAE have increased the deductibles in medical insurance policies in a bid to cut down health insurance abuse.
Negative practices in the health insurance sector include some people visiting the doctor frequently without real medical reasons, thereby adding to claims costs for insurers, according to local media reports.
The increases have led to complaints from the insured that they are now paying large amounts out of pocket when seeking medical treatment. The sum paid out of pocket can amount to 30% of the medical bill, including the cost of medicine and surgery. The complainants said that they used to pay a lower percentage.
The Emirates Insurance Association (EIA) said that the higher deductibles were imposed by insurance companies in agreement with various employment agencies in the government and private sectors.
EIA secretary-general Fareed Lutfi said that there is control over service providers, whether hospitals or clinics, to ensure that doctors comply with what is required as shown in the patient’s medical file, and not to exaggerate the need for tests and X-rays. In addition, prior approval is granted in prescribing medicine.
He indicated that the deductible amount differs from one employer to another and is determined by agreement between the employer and the insurance company, pointing out that at the present time, it is rare to find medical insurance policies that provide 100% coverage.
Mr Lutfi added that periodic meetings take place between insurance companies and medical service providers to coordinate and ensure the provision of health services of international standards at competitive prices. M