DUBAI – All Emiratis and residents working in the federal and private sectors are required to get themselves registered with the Unemployment Insurance scheme that provides financial support to them if they lose their jobs, as a result of termination by their employers.
It aims to ensure continued decent living for the unemployed and achieve a competitive knowledge economy by attracting and retaining best international talent.
The financial support will be given in exchange of a monthly insurance premium paid by the worker during his employment.
Workers may subscribe to the insurance scheme via ILOE Insurance Pool website and its app and any other channel which MoHRE may announce.
Dubai Insurance Company is that representative of the insurance pool, which consists of 9 national insurance companies:
Dubai Insurance Company
Abu Dhabi National Insurance Company
Al Ain Ahlia Insurance Company
Emirates Insurance Company
National General Insurance Company
Orient Insurance
Oman Insurance Company
Orient UNB Takaful Company
1-Workers with a basic salary of AED 16,000 or less will need to pay a monthly insurance premium of AED 5, i.e. AED 60 annually. The compensation for this category must not exceed a monthly amount of AED 10,000.
2-Those with a basic salary exceeding AED 16,000 will need to pay AED 10 per month, i.e. AED 120 annually. The compensation for this category must not exceed AED 20,000 monthly.
The worker may choose to pay the premium on a monthly, quarterly, half-yearly or on an annual basis.
The insured worker may, in coordination with the insurance company, subscribe to additional benefits in addition to the above basic package.
The value of the insurance policy is subject to VAT.
The UAE Government has announced that it will enforce fines on workers who do not subscribe to, or comply with the payments for the Unemployment Insurance scheme, starting from October 1, 2023.
