Jordan: Business group opposes mandatory health insurance due to costs
Source: Middle East Insurance Review | Jan 2017
Members of the Jordan Chamber of Commerce and other businesses have rejected a plan by the Social Security Corporation (SSC) to implement mandatory health insurance in the private sector in 2017.
At a meeting with Ms Nadia Al-Rawabdeh, SSC Director General, the business sector urged the government agency to reconsider its mandatory health insurance proposals, taking into account the current challenging business environment, reported Al Rai.
Mr Nael Kabariti, President of the Chamber, said that the mandatory health scheme would deepen the burden on businesses in the current economic climate when business is contracting.
Ms Al-Rawabdeh explained that the SSC is currently conducting a series of meetings with the private sector to consult the latter and to listen to alternative health insurance proposals. She said that no final decision had been taken on the scheme. She indicated that if implemented, the mandatory health insurance plan would benefit around 800,000 people in the private sector, including their family members. Statistics indicate that 27% of Jordanians lack health insurance while the proportion is 87% for non-Jordanians in the Kingdom.
Under the SSC’s proposal, the premiums for the mandatory health insurance would be paid for by three parties – the employer, the employee and the government, with the employer contributing the most.