Since 1 January 2025, a UAE employer cannot issue or renew a private sector worker's residence without first buying health insurance. The same rule applies to domestic workers. Dubai and Abu Dhabi already had their own mandatory schemes, so the change mainly affects the five northern emirates. It has quietly become a standard step in every residence visa file.

The rule follows a Cabinet decision extending mandatory cover to all emirates. The Ministry of Human Resources and Emiratisation (MoHRE) introduced a low-cost Basic Health Insurance package with ICP and the Ministry of Health and Prevention. This guide explains who the rule covers and who pays. It then sets out exactly what the basic package costs and what it actually covers.

What changed on 1 January 2025

From 1 January 2025, employers must buy a health insurance policy before applying to issue or renew a residence permit. That applies to private sector employees and domestic workers across the UAE. Without the policy in place, the residence application simply cannot proceed.

MoHRE's published guidance names Sharjah, Ajman, Fujairah, Ras Al Khaimah and Umm Al Quwain as the target emirates for the basic package. Dubai and Abu Dhabi continue under their own existing mandatory health insurance systems for workers. The practical effect is one consistent rule for employers nationwide.

Quick Answer

Since 1 January 2025, UAE employers must buy health insurance before issuing or renewing a private sector worker's or domestic worker's residence. Without a policy, the residence application cannot proceed.

Who pays and who is covered

MoHRE states that private sector employers and domestic workers' employers carry the financial obligation for the insurance. The cost cannot be passed to the worker as a condition of the visa. The policy is bought each time residence is issued or renewed.

Workers holding valid work permits dated before 1 January 2025 were not required to buy a policy straight away. They must be insured when their residence next comes up for renewal. Two-year permits issued before that date reach renewal by late 2026, so the rule's coverage keeps widening.

Quick Answer

UAE employers pay for the required health insurance, not the worker. Workers with permits issued before 1 January 2025 became subject to the rule at the worker's next residence renewal.

Smartphone showing a digital card next to printed forms on a desk
The basic package network lists seven hospitals, 47 clinics and 44 pharmacies.

The AED 320 basic package

MoHRE's Basic Health Insurance package costs AED 320 a year. The policy runs for two years, and the second year's premium can be refunded if the visa is cancelled. It can be bought through the whi.ae website or approved business service centres.

Chronic and pre-existing conditions are covered from the first day, without any waiting period, according to MoHRE's summary of the scheme. MoHRE lists a network of seven hospitals, 47 clinics and medical centres, and 44 pharmacies. Telehealth consultations online are included without a co-payment, except for pharmacy services.

Quick Answer

The UAE Basic Health Insurance package costs AED 320 a year on a two-year policy, with a refundable second year. Chronic and pre-existing conditions are covered from the first day.

Co-payments under the basic package

Inpatient care carries a 20 per cent co-payment, capped at AED 500 per visit and AED 1,000 a year. Above that annual limit, the insurer pays the remaining cost in full. That annual cap protects lower-paid workers from facing a large hospital bill alone.

Outpatient visits carry a 25 per cent co-payment, up to AED 100 per visit. No co-payment applies to a follow-up visit within seven days of the first appointment. Prescribed medicines carry a 30 per cent co-payment, with an annual cap of AED 1,500 under MoHRE's summary.

Quick Answer

The UAE basic package has 20 per cent inpatient co-payments, capped at AED 1,000 yearly. Outpatient visits cost 25 per cent, up to AED 100, and medicines 30 per cent.

What employers should check

Employers can buy a richer policy than the basic package, as long as it meets the minimum requirements. Check that the policy start date covers the whole residence application period. Keep the policy certificate in the visa file for every worker, ready for renewal.

MoHRE also notes that an employee's dependants can access the same benefits and prices, under the policy's terms. That can help lower-paid workers insure a spouse or children at the same price. For Dubai-sponsored dependants, Dubai's own sponsor rules still apply separately and must be checked.

Quick Answer

UAE employers may buy richer cover than the basic package if minimums are met. Keep each worker's policy certificate with the residence visa file, and check any dependants' cover separately.

Frequently asked questions

Is health insurance mandatory for a UAE work visa?
Yes, it is now mandatory everywhere. Since 1 January 2025, employers must buy health insurance before issuing or renewing residence for private sector employees and domestic workers across the UAE.
Who pays for employee health insurance in the UAE?
The employer pays, not the worker. MoHRE states that private sector employers and domestic workers' employers carry the full financial obligation when residence permits are issued or renewed for staff.
How much is the UAE basic health insurance package?
MoHRE lists AED 320 a year for the Basic Health Insurance package. The policy itself lasts two years, and the second year's premium is refundable if the visa is cancelled.
Which emirates does the basic package target?
MoHRE's guidance names Sharjah, Ajman, Fujairah, Ras Al Khaimah and Umm Al Quwain. Dubai and Abu Dhabi continue with their own long-standing mandatory health insurance systems for private sector workers.
Does the basic package cover pre-existing conditions?
Yes, MoHRE says chronic and pre-existing conditions are covered from the start, without any waiting period. That matters for workers already managing conditions such as diabetes or high blood pressure.
What are the co-payments on the basic package?
Inpatient care carries 20 per cent, capped at AED 1,000 a year, and outpatient care 25 per cent, up to AED 100 per visit. Prescribed medicines carry 30 per cent.
Does the rule apply to domestic workers?
Yes, domestic workers are covered by exactly the same rule. Their employers must buy health insurance first, before issuing or renewing the domestic worker's residence permit anywhere in the UAE.
What about workers hired before January 2025?
Workers with valid permits dated before 1 January 2025 did not need a new policy straight away. The insurance became mandatory when their residence came up for its next renewal.
Where can employers buy the basic package?
MoHRE lists the whi.ae website and business service and guidance centres. Employers can also buy cover from other approved suppliers, provided the cover meets the minimum requirements for the emirate.
Can employees' family members use the basic package?
MoHRE says dependants can also access the same benefits and prices under the policy terms. Check the rules of the sponsoring emirate, because Dubai applies its own separate dependant requirements.

Main Takeaways

Since 1 January 2025, UAE employers must buy health insurance before issuing or renewing residence for private sector employees and domestic workers. The employer pays, not the worker. MoHRE's basic package costs AED 320 a year on a two-year policy, covers pre-existing conditions immediately and caps inpatient co-payments at AED 1,000 a year. Keep every worker's policy certificate on file.

Building insurance into every visa file

The 2025 rule turned health insurance from an employee benefit into a visa requirement across the UAE. For employers in the northern emirates, it added a new step to every new hire and renewal. MoHRE's basic package keeps the cost modest at AED 320 a year. The main risk now is simply forgetting it until an application is refused.

Buy the policy before starting the residence application, and check that its dates cover the whole process from start to finish. Keep the policy certificate with each worker's visa file, ready for the next renewal. MSM sequences health insurance into its employment visa renewal and domestic worker visa services. For dependants sponsored in Dubai, see our guide to dependant health insurance.

Mohammed Shareef A

Senior PRO Consultant

Mohammed Shareef A is a government liaison and document clearing consultant who files company, labour and immigration applications in Dubai, handling trade licence, establishment card, family sponsorship and attestation files across DET, MoHRE, GDRFA, ICP and MOFAIC.