On job losses, UAE employee insurance scheme payout effective only from January 2, 2024

On job losses, UAE employee insurance scheme payout effective only from January 2, 2024

Dubai: Job loss claims are starting to come through under the UAE’s landmark ‘Involuntary Loss of Employment’ scheme launched on January 1. But these will continue to be rejected until the first 12 months of the policy is complete. The number of policyholders is close to hitting the 3.4 million mark, and the speed of new signing ups will pick up as the deadline of June 30 looms. “The first payments against a job loss will effectively start from January 2, 2024 - all submissions until then will not be covered,” said Dana Kansou, Manager for ILOE Insurance Pool. “The insurance pool has on file applications from those who had taken the policy since January 1, 2023, but these were rejected. The take up rates for the job loss policy - part of reforms the UAE government has been bringing into the employment space - has been sizeable, with the latest tally closing in on 3.4 million policyholders, the majority, of course, coming from the private sector. All those employed in the UAE, including citizens, need to have signed up for the scheme. The formal cut-off date to do so is June 30, and individuals failing to do so will