Dubai is one of the fastest growing economies in the world with a business community comprising mainly Small & Medium sized Enterprises (95% of the total number of companies as per a report by Dubai SME, a government body). There are over 135,000 enterprises in Dubai that have an employee size of 100 or less, leading to a low 9.1 average employee size. In such a scenario, finding the right group insurance policy that facilitates leveraging economies of scale despite the small size, optimizes benefits while lowering cost can be quite a challenge.
The annual premiums for a Dubai health insurance policy can vary from AED 600 per employee (for the Basic Healthcare Plan) to all-inclusive packages for AED 50,000 or more as well. The AED 600 annual premium is for a basic benefit package for employees with salary less than AED 4,000. You can also get a basic dependent health insurance plan at approximately the same price range (AED 650 -700), however if the dependent is over 60 years of age the annual premiums soar to AED 2,500 or more. These base plans will have various restrictions like longer waiting time, non-inclusion of certain disease conditions, higher co-payments etc.
For better benefits, wider network of hospitals and better coverage you can usually find group plans with annual premiums ranging from AED 1,500 to AED 5,500. Hence it is very important to evaluate all the policy options you have and decide on the one that gives the best ROI for both you and your employees.
Some health insurance policy options offered by Dubai insurance companies are mentioned below. These are not standalone products but are essentially policy types that can also be offered in combination with each other.
Health Maintenance and Organization Plans: Such plans usually cover a considerable amount of medical expenses. The flipside is that the insured members can avail treatment only from the primary physicians that are registered and approved by the insurance company. These are generally the most affordable kind of plans and their annual premiums range from AED 600 to AED 900 per person.
Family Cover Plan:
These plans not only cover individuals but extend to include family members as well.. Though not mandated by the government, employers can look at insurance policies that cover not only their employees but their dependents as well.
Hospitalization Only Cover: This is usually a good policy to go for. It covers a greater range of services and benefit but is restricted to only hospitalization/ inpatient cases. OPD consultations are not covered by these policies.
Limited Pre-existing illness cover: This is usually offered to companies having 5-25 employees. There will be a limited coverage provided for preexisting conditions, chronic diseases and critical illnesses.
Large Corporate Policy: Usually suitable for companies with 50 employees or more. These policies span across national and international business needs. These are taken by companies operating in multiple countries & having a sizable expatriate population.
Medical History Disregard cover: This cover is the most popular one for large corporates and one of the more expensive options. As the name suggests it disregards all pre-existing conditions and instead provides a blanket cover for a majority of diseases.
Summary: There are over 40 regional and international companies in Dubai, offering various attractive policies to capture greater share of the group insurance market. With umpteen options to choose from, companies, big or small, can find a suitable policy catered to meet their requirements. Insurance providers also need to ensure that the unique needs of Dubai’s SMEs are met.