Visa Regulations Leave Insurers Scrambling

By Shakir Husain, Staff Reporter (Gulf News) Published: August 11, 2008, 23:23
Dubai: The government's revamping of visa requirements that came into effect July 29 caught UAE health insurance companies off guard. Under the new regulations, visitors to the UAE are required to purchase health coverage as a condition of obtaining visit visas. Residents of 34 countries, mainly those from Europe and North America, are exempt from this health insurance rule.
Because of the change and the rushed manner in which the visa rules were brought into effect, the UAE companies have been scrambling to develop proper health-insurance plans.

Coordination
"The government should have coordinated with the insurance community well in advance, providing the guidelines and regulations so that we could have prepared the products and procedures to meet the rules," one Dubai insurance official told Gulf News, requesting anonymity. "That was not the case. That's why a lot of the companies are now preparing products on their own."
Most insurance companies have either started selling - or are in the process of launching - the mandatory policies for visiting foreigners, industry sources said yesterday. For those arriving without health insurance cover, policies are also available at points of entry. Insurance companies said they will also offer these schemes online for purchase. And because of the rush to develop these products, a consensus is developing in the insurance community that the new plans should only cover basic emergency medical needs. And premiums would be kept low.
National Health Insurance Company (Daman) offers three schemes valid for 30, 60 and 90 days at premiums of Dh40, Dh70 and Dh90 respectively. This covers emergency medical treatment at Daman's UAE network, with the upper limit being Dh100,000 per person. This narrow coverage would exclude out-patient consultations and services such as dental care and child delivery.
Gopal Babu, underwriting manager at Dubai Insurance and Reinsurance Company, said his company's visa plan would be basic. "We are planning to launch our scheme soon," he said. "It is intended for emergency medical expenses at select hospitals only."

New regulations
People entering the UAE on a visit or tourist visa need not buy health insurance again locally if they are already covered internationally, a senior official from the Dubai Naturalisation and Residency Department (DNRD) said yesterday. Brigadier Obaid Mehayer Bin Surour, Acting Director of DNRD, explained the new visa regulations and requirements to all private and public companies during a meeting with Free Zones authorities.

He said under the new rules, establishments, especially government companies, are required to present a letter undertaking complete responsibility for the medical expenses of their guests in case of emergencies in the UAE. Bin Surour said under the new rules, companies must immediately state the process for medical insurance that they will use when applying for visas for their visitors. Only then can they submit their visa applications to the DNRD and have them approved and processed, he said.