A valid health insurance policy is now part of the work permit process across the UAE. For employers, this is not a document to arrange after everything else is finished. The policy needs to be valid and electronically verifiable when a permit is issued or renewed.
The Ministry of Human Resources and Emiratisation recently published a guide explaining the existing procedures. The guide does not create a new fee or move the cost to workers. It clarifies what employers need to check and how insurance is connected to the permit process.
What the employer is responsible for
The employer must arrange suitable health insurance for the worker and pay the subscription or renewal cost. A company should not deduct the basic policy cost from the worker or ask the worker to pay it privately as a condition of keeping the job.
The policy must meet the applicable minimum standards and remain valid through the work permit period. Since the verification is electronic, a payment receipt alone may not be enough if the policy has not been activated or the worker’s details do not match the government record.
Check the name, passport details, Emirates ID information, date of birth, policy start date, and expiry date before beginning the permit transaction. One incorrect digit can create a delay that appears to be a technical problem but is really a record mismatch.
How the national system works
The nationwide requirement was completed from the beginning of 2025. Abu Dhabi and Dubai already had their own health insurance systems. The federal arrangement extended basic cover to private sector employees and domestic workers in Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah, and Fujairah.
This distinction matters. An employer should not assume that the same policy, provider list, or price applies in every emirate. Follow the insurance rules connected to the worker’s visa and employment location, and use an approved provider for the relevant scheme.
Workers whose permits in the five northern emirates were issued before 1 January 2025 were not required to obtain the new basic package immediately. The requirement applies when that permit comes up for renewal. A company with employees on different renewal dates therefore needs a worker by worker schedule rather than one general deadline.
What the basic package includes
The announced basic package for eligible workers in the five northern emirates costs AED 320 a year. That figure should not be treated as the final cost for every person or every emirate. Optional benefits, provider terms, taxes, and separate local systems can affect what an employer pays.
For inpatient treatment, the basic package has a 20 per cent copayment, with a maximum of AED 500 for one visit and AED 1,000 in a year. Once that annual limit is reached, eligible inpatient costs above it are fully covered according to the policy terms.
For outpatient treatment, the copayment is 25 per cent with a maximum of AED 100 for a visit. A follow up visit for the same condition within seven days does not carry another copayment. Medicine has a 30 per cent copayment, with the worker’s annual share capped at AED 1,500.
These figures describe the minimum package announced for the federal scheme. Coverage still depends on medical necessity, network rules, exclusions, approvals, and the policy wording. Employers should give workers access to their policy information instead of only telling them that insurance exists.
A practical renewal checklist
Begin at least several weeks before the work permit expires. Create a list showing the permit expiry, insurance expiry, responsible staff member, provider, and current status for each worker. Avoid a gap between an old policy ending and a new one becoming active.
Ask the approved insurer to confirm when the policy will appear in the electronic system. Check that dependants have not been confused with employees and that two workers with similar names have the correct passport details.
Keep the quotation, payment proof, policy schedule, certificate, and any approval message in the employee file. Restrict access because these records contain personal and medical information. The payroll team should also know that the employer bears the required insurance cost.
After the policy is active, test the permit renewal process early enough to solve a rejected verification. Do not wait until the last day. If the system still cannot see the policy, contact the insurer and the official labour support channel with the transaction reference.
What workers should receive
A worker should know the insurer, policy number, network, claim process, and where to seek help. Give this information in a language the worker can understand. An insurance card sitting in an office drawer is not useful during an urgent medical visit.
Explain the difference between a covered service and a free service. Copayments may still apply. Workers should also know when prior approval is needed, which clinics are in the network, and what to do in an emergency.
The official MoHRE basic health insurance page provides the current framework. The Ministry has also stressed that its latest guide explains established obligations rather than adding a new requirement. When local rules, insurer wording, and a general article differ, the official rule and issued policy take priority.
Questions people often ask
Can an employer charge the worker for the basic policy?
No. The employer is responsible for the subscription and renewal cost required for the worker.
Is the AED 320 package used everywhere in the UAE?
No. It applies to the announced basic scheme in the five northern emirates. Dubai and Abu Dhabi have their own established systems.
Does an old work permit need insurance immediately?
For permits in the five northern emirates issued before 1 January 2025, the requirement applies when the permit is renewed.
Is a payment receipt enough for permit renewal?
Not always. The policy needs to be active, valid, and visible through the electronic verification process.
Does the policy cover every medical cost without payment?
No. The basic package includes copayments, network conditions, and policy rules that workers and employers should review.
