In the UAE, providing health insurance is more than a benefit; it’s a legal requirement for many employers and an essential part of building an attractive workplace. If you're using (or considering) ZenHR for HR management, this guide shows you how to add a health insurance policy to the system, ensuring your business remains compliant, your employees are covered, and the administrative burden is reduced.
Why Health Insurance Matters in the UAE
- Legal compliance: Health insurance is compulsory in many emirates (e.g., Dubai, Abu Dhabi), for UAE nationals and expatriates. Employers must understand the regulations and ensure coverage meets minimum standards.
- Attract and retain talent: Good healthcare is one of the top perks employees look for. A robust health insurance policy can make your company more competitive.
- Cost management & transparency: With many employees and dependents, costs can spiral out of control unless managed carefully. Automating the calculation of cost sharing (what the employer pays vs. employee deductibles) helps avoid surprises.
What ZenHR’s Health Insurance Policy Feature Does
ZenHR allows you to configure health insurance policies at the company level, enabling:
- Specification of who is covered (employees, their spouses, children, dependents)
- Different cost-sharing arrangements (e.g., full cost by employer, partial cost, or monthly deductions from salary)
- Multiple “tiers” or “bands” of coverage depending on employee category or service level
- Automatic calculation of deductions and contributions once the policy is set up
These features are designed with UAE market realities in mind, particularly where rules vary by emirate, and dependents’ coverage is a key concern.
Step-by-Step: Adding a Health Insurance Policy on ZenHR (for UAE)
|
Step |
What to do in ZenHR |
UAE-Specific Notes / Things to Check |
|
1. Access System Settings |
Go to System Preferences → Financial Configuration → Health Insurance / Insurance. |
Ensure your HR admin has appropriate permissions; confirm which legal entity/emirate this policy applies to if you have multiple. |
|
2. Click on “Add Policy” |
You will find a button to Add Insurance Policy. |
Name the policy clearly (e.g. “Dubai Core Health Plan” or “Abu Dhabi Executive Plan”) so that employees know which applies. |
|
3. Enter Contract Details |
Complete fields like Start date, End date, Insurance provider name, and Policy number. |
UAE insurance laws sometimes require minimum benefits; ensure your provider and contract meet the local DHA (Dubai) or HAAD (Abu Dhabi) requirements, as well as those of other emirates. |
|
4. Cost Structure |
Two paths: • Whole cost by company: enter total cost for adults & children. • Cost per insured employee: activate “per employee” option, enter cost for each adult & child. |
Decide how much the employer will contribute vs the employee’s share. Be aware of mandated minimums in specific emirates. Also, currency settings are essential (AED). |
|
5. Set Cost Sharing / Deduction |
Use the “deduction percentage” field: what percentage of cost the employee will bear. Multiple "bands" or “tiers” may be created (e.g., based on years of service or number of dependents). |
When defining tiers, you might offer better coverage to long-service employees or set higher contributions for large families. Be mindful of fairness and local labor norms. |
|
6. Add Dependents / Family Members |
If the policy covers family members beyond the employee (spouse, children), add the “beneficiary” setup under that policy or employee file. |
Keep updated records: In many cases, medical insurance for dependents incurs additional cost, and some providers require age documentation. Ensure the process for employees to update their family status is clear. |
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7. Activate and Monitor |
Once all fields are completed and the policy is saved, the system will handle ongoing deductions, renewals, eligibility, etc. HR should monitor expiry dates and renewals. |
In the UAE, policy renewals occur annually; ensure reminders are set ahead of the expiry date. Additionally, in emirates like Dubai, you may need to fulfill specific regulatory reporting or documentation requirements (for example, as mandated by the DHA). |
For UAE employers, health insurance management doesn’t have to be complex. ZenHR provides a comprehensive solution for creating, configuring, and automating policies. This ensures legal compliance, operational efficiency, and employee satisfaction.
If you’re ready to simplify insurance administration in your company, explore ZenHR today and take the stress out of health coverage.
Join top companies in the UAE that rely on ZenHR to ensure full compliance with the UAE's local labor law - Request a demo of ZenHR
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Mais Gousous
Mais Gousous is an experienced marketing executive with over 16 years of expertise. She currently serves as VP of Marketing and Business Partner at ZenHR. She has a strong background in driving marketing strategies for HR tech solutions and previously held leadership roles at Akhtaboot, overseeing brand management and communications.
