insurance scheme

Federal Decree-Law No. 13 of 2022 relates to unemployment insurance. The insurance scheme aims to provide financial assistance to employees laid off by their employers, citizens, and residents.

Workers paid an insurance premium monthly during their employment will be entitled to financial support. This insurance scheme is optional for employers. Employees can enroll in the insurance scheme. 2023, which took effect on January 1, 2019, is a mandatory employer requirement.

Why is this Scheme Important?

The unemployment insurance scheme has one primary purpose: to provide workers with an income for a brief period. It offers social protection for workers to allow them to continue living a decent existence during unemployment.

It is also designed for Emiratis to be more competitive in the labor markets and create a competitive knowledge economy by attracting and retaining the best international talent.

What is The Scope Of This Scheme?

All employees from the federal and private sectors are eligible except:

  • Owners of their businesses and investors
  • Domestic workers
  • Temporary contract employees
  • Employees younger than 18
  • Changes in employers for pension-receiving retirees

Is Registration Mandatory

Beginning January 1, 2023, the Ministry of Human Resources and Emiratisation will make it mandatory to purchase an insurance policy for job loss.

Subscribe to the Unemployment Insurance scheme for as low as AED5/Month for employees of private firms and federal departments

Available Schemes, Premiums & Eligibility

The monthly maximum compensation amount is AED 20,000. The amount will start on the date that the employee loses employment and continue for three months or until the employee is hired again.

Basic Salary


AED 16,000 or less

AED 5/Month, AED 60/Annum

AED 10,000/month maximum

Exceeding AED 16,000.

AED 10/Month, AED 120/Annum

AED 20,000/month maximum

To be eligible for the compensation, the worker must pay the monthly premium for at most 12 consecutive months. Payments should also have been made on a timely basis.

Resignation is not a reason for unemployment. The insurance scheme is for those employees who have already been fired. Employees fired from their job for any reason other than thanthan disciplinary are automatically ineligible.

Employers are required to file a claim within 30 calendar days of termination.

Insurance Scheme Providers

The Ministry of Human Resources & Emiratization stated that Dubai-based insurance companies like: would provide the scheme

  • Dubai Insurance Company
  • Abu Dhabi National Insurance Company
  • Al Ain Ahlia Insurance Company
  • Orient UNB Takaful Company
  • Oman Insurance Company
  • Abu Dhabi National Takaful Company
  • Orient Insurance
  • National General Insurance Company
  • Emirates Insurance Company
  • Al Ain Ahlia Insurance Company

These are the subscription options:

  • SMS
  • Du & Etisalat
  • Exchange companies
  • Business Service Centres
  • Bank ATM & Kiosk Machines
  • The website of an insurance pool (, as well as a smart application

Suspension – From The Scheme

Any of these scenarios will result in an insured worker losing their right to compensation.

  • If the worker is terminated from employment because of disciplinary reasons as specified under Federal Decree-Law No. 33 of 2021 regarding the Regulation of Employment Relationship and its amends and Federal Human Resources Law
  • Participation of fraudulent behavior in the claim
  • They work in an imaginary establishment