Starting January 1, 2025, health insurance premiums in Dubai have increased by up to 20%, with insurers introducing a range of new benefits such as dental care, psychiatric support, organ transplant, and dialysis coverage.
The adjustments come in response to regulatory updates mandating expanded coverage to enhance healthcare access and quality.
Industry experts highlight the dual impact of these changes.
“While premiums have risen, the added benefits make health insurance more comprehensive for policy buyers,”
said Avinash Babur, CEO of Insurancemarket.ae. He noted that some insurers raised rates by 10-15% based on claims experiences from 2024, while others maintained existing rates. For basic and enhanced plans, one insurer implemented a 20% premium hike, signaling targeted adjustments rather than a market-wide trend.
Moin ur Rehman, executive director of Unitrust Insurance Broker, observed that approximately 75% of insurers revised rates for basic and enhanced policies, with premiums increasing by about 20%. Toshita Chauhan, business head at Policybazaar.ae, attributed these hikes to regulatory changes aimed at improving healthcare standards, which necessitated premium adjustments to accommodate expanded coverage.
The upgraded benefits include coverage for organ transplants (up to AED 100,000), dialysis (up to AED 60,000), and mental health outpatient counselling (up to AED 800), among others. Dental care benefits up to AED 500 and repatriation costs for mortal remains up to AED 5,000 have also been introduced. However, co-insurance limits of 20-30% apply for specific benefits.
Chauhan emphasized that these updates ensure a more holistic approach to healthcare, addressing areas previously uncovered. Babur added that while not all insurers have increased premiums, those who did are reflecting the cost of added benefits.
News Source: Khaleej Times
