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12

Dubai health insurance law enacted

Open-access content Tuesday 3rd December 2013 — updated 5.13pm, Wednesday 29th April 2020

Plans to introduce mandatory health insurance for all citizens, residents and visitors in Dubai from next year will create opportunities for insurance firms, an investment fund has said

Publishing an analysis of the law Henderson Global Investors said approval of the measure last month indicated that the economy of Dubai was recovering following the economic crisis. 

The law will be rolled out in phases until mid-2016 and is expected to boost healthcare spending by the country's estimated 2.1 million residents. Only around 1 million are currently insured.

Employers will be responsible for the health insurance of their employees, many of whom are foreigners, whilst the government will be responsible for the health insurance of citizens, who account for less than a fifth of the population. The government will also provide basic services including surgical services and maternity care.

'Besides the citizens of Dubai the clear winners here are the health care providers,' the firm said. When similar mandatory health insurance was introduced in Abu Dhabi seven years ago, outpatient insurance claims increased by 62% between 2007 and 2010. 

This article appeared in our December 2013 issue of The Actuary.
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