VoxxArrive · UAE onboarding topic
Mandatory employee health insurance in the UAE: an employer's guide (2025-2026)
Every private-sector employer in the UAE must provide health cover for its employees, and the cost falls entirely on the employer - it cannot be deducted from wages. Dubai (regulated by the DHA under Law No. 11 of 2013) and Abu Dhabi (regulated by the DOH under Law No. 23 of 2005) have required this for years, and from 1 January 2025 a nationwide basic package extended the same duty to the Northern Emirates (Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah and Fujairah). A valid, compliant policy is now a prerequisite for issuing or renewing a residency permit.
Steps
- Confirm which emirate's rules apply - The obligation is set at emirate level. Dubai employers follow DHA rules (Law No. 11 of 2013); Abu Dhabi employers follow DOH rules (Law No. 23 of 2005); employers in the five Northern Emirates follow the nationwide basic scheme that took effect on 1 January 2025. A company with staff across emirates must meet each emirate's standard for the staff based there.
- Buy cover from a UAE-licensed insurer before applying for the visa - From 1 January 2025 a health insurance policy is a prerequisite for issuing or renewing a residency permit for private-sector employees and domestic workers. There is no waiting period for cover to begin, including for pre-existing chronic conditions under the basic package.
- Meet the minimum benefit standard for that emirate - In Dubai, the DHA Essential Benefits Plan (EBP) applies to employees earning AED 4,000 or less per month and carries a minimum annual claims limit of AED 150,000, covering inpatient, outpatient, emergency and basic maternity care. Abu Dhabi's DOH sets its own basic-product standard. The Northern Emirates basic package (from AED 320/year) sets federal minimums on co-payments and network.
- Cover dependants where the emirate requires it - Abu Dhabi (DOH) requires employers to cover the employee plus immediate family - one spouse and up to three children under 18. In Dubai the employer's legal duty is generally to the employee; the resident sponsor is then responsible for insuring their own dependants, elderly parents and domestic staff.
- Pay the premium in full - do not deduct from salary - Across all emirates the employer bears the full cost of the employee's mandatory cover. Deducting the premium from wages or reducing salary to qualify an employee for a cheaper plan is prohibited.
- Renew on time and keep cover continuous - Cover must be maintained at all times. Lapsed insurance blocks visa and labour-card renewal, and the health regulators (DHA, DOH) can impose fines and hold up renewals until compliant cover is in place.
Timeline
Immediate: cover must be active before the residency permit is issued or renewed (a prerequisite since 1 January 2025), and there is no waiting period for treatment to begin under the basic package. Existing permits issued before the cut-off only need compliant cover at their next renewal.
Cost & fees
The employer pays the full premium - it cannot be deducted from the employee's salary. The Northern Emirates nationwide basic package is priced from AED 320 per year (two-year policy validity) per official MOHRE/u.ae guidance. Dubai's DHA Essential Benefits Plan is quoted by brokers at roughly AED 600-750 per employee per year (indicative, not a fixed regulated tariff) and carries a minimum AED 150,000 annual claims limit. Co-payments under the basic package: inpatient 20% capped at AED 500/visit and AED 1,000/year; outpatient 25% capped at AED 100/visit (no co-pay for follow-ups within seven days); medication 30% capped at AED 1,500/year. Actual premiums vary widely by emirate, insurer, age, salary band and level of cover.
Your task slice
5 of the 57 onboarding tasks apply here.
Purchase mandatory health insurance policy (prerequisite for residency since 1 Jan 2025)
Health insurance policy certificate
Issue health insurance card and policy details to the employee
Health insurance card
Confirm health insurance activation is linked to the residency file
Review health insurance coverage adequacy and dependant options
Confirm health insurance validity aligns with residency expiry
Some figures on this page vary by jurisdiction, zone or nationality, or could not be independently confirmed from a public source at time of writing - confirm the current figure with the regulator before relying on it.
Sources
- MOHRE - The Basic Health Insurance Scheme (official guidance: AED 320/year, co-payments, Northern Emirates, employer pays)
- u.ae - Getting a health insurance (Official Platform of the UAE Government: 1 Jan 2025 prerequisite, basic package cost and co-payments)
- DOH Abu Dhabi - Law No. 23 of 2005 Concerning Health Insurance in the Emirate of Abu Dhabi (official PDF)
- Khaleej Times - UAE basic health insurance for private-sector workers from January 2025 (from Dh320, coverage, co-pays)
- Pacific Prime - 2025 Guide to Mandatory Health Insurance in Dubai (EBP AED 150,000 limit, AED 4,000 salary threshold, Law No. 11 of 2013)
Frequently asked
Can I deduct the health insurance premium from my employee's salary?
No. Across the UAE the employer must bear the full cost of the mandatory cover. Deducting the premium from wages, or cutting salary to make an employee eligible for a cheaper plan, is prohibited.
Do I have to insure my employee's family?
It depends on the emirate. In Abu Dhabi the DOH requires the employer to cover the employee plus one spouse and up to three children under 18. In Dubai the employer's duty is generally to the employee, and the resident then insures their own dependants as their sponsor.
What is the minimum cover I must provide in Dubai?
For employees earning AED 4,000 or less per month, the DHA Essential Benefits Plan is the floor. It carries a minimum annual claims limit of AED 150,000 and covers inpatient, outpatient, emergency and basic maternity care. Higher-earning staff must be given at least an equivalent DHA-compliant plan.
What changed on 1 January 2025?
A nationwide basic health insurance package extended the mandatory-cover duty to the five Northern Emirates (Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah, Fujairah). From that date, a valid policy became a prerequisite for issuing or renewing a residency permit for private-sector employees and domestic workers nationwide.
What happens if I don't provide cover?
You cannot issue or renew the employee's residency permit and labour card without active, compliant insurance. The health regulators (DHA in Dubai, DOH in Abu Dhabi) can impose fines and block renewals until cover is in place.