ILOE Insurance in Dubai

ILOE insurance supports workers in Dubai by offering income protection when they lose their jobs for reasons beyond their control. The scheme covers eligible employees in the federal government and MOHRE-registered private sector. It provides short-term support while they secure new employment. Clear rules, simple registration steps, and predictable premiums make the scheme accessible to workers across a wide range of industries.

What is ILOE Insurance in the UAE?

ILOE insurance supports employees in the UAE by providing temporary compensation when they lose their jobs for reasons beyond their control. The scheme applies to federal government staff and private-sector workers registered under MOHRE. It excludes resignations, disciplinary terminations, and roles outside the legal scope.

Registration is compulsory for eligible workers. Employees must maintain active premiums to stay compliant, and MOHRE enforces a 400 fine for anyone who missed the required subscription deadline. This penalty must be settled before completing certain government procedures, including visa renewal.

Workers who qualify receive monthly compensation for up to three months, equal to 60% of their average basic salary from the previous six months, subject to category caps. They must complete 12 consecutive months of premiums before claiming.

By September 2023, more than 5.73 million workers had subscribed. Enrolment reached 88.38% of private-sector employees by the end of 2025, underscoring the scheme’s role in national employment compliance.

Strengthening Employment Security Through ILOE Insurance

ILOE insurance offers a structured safety net for workers who face involuntary job loss. The programme is designed to reduce the financial impact of unemployment, giving individuals support while they transition to new roles. Because it is a legal requirement for eligible workers, it forms a stable part of employment compliance in the UAE.

How to Apply for ILOE Insurance

Registering for the compulsory ILOE (Involuntary Loss of Employment) insurance in the UAE involves several key steps in accordance with Federal Decree-Law No. 13 of 2022. Follow the steps below to subscribe for ILOE insurance:

1. Check Eligibility

Begin by confirming that you are not within the groups excluded from coverage such as retirees, business owners, investors, temporary contract workers, domestic employees, individuals under 18, or workers dismissed for misconduct.

2. Select Your Insurance Tier

• Category A: For those earning up to 16,000, with a monthly premium of 5 plus VAT.
• Category B: For those earning more than 16,000, with a premium of 10 plus VAT.

Note: Additional benefits might be available through negotiation as outlined in Article 11 of Cabinet Decision No. 97/2022.

3. Select a Subscription Channel

• Direct Enrolment: Access the ILOE portal or its mobile app to subscribe without additional fees. You will need your Emirates ID and contact details to complete the enrolment steps.
• Through Service Providers: For additional fees, you can also subscribe through various approved providers (detailed below).

4. Make Your Premium Payment

Decide on the frequency of your premium payments; options include monthly, quarterly, semi-annual, or annual. Payments can be made via the ILOE portal, its mobile app, or through any authorised service centre.

5. Download Your Certificate of Insurance

After registering, download your Certificate of Insurance from the ILOE portal or app, which will serve as proof of your insurance coverage.

6. Maintain Your Subscription

To continue eligibility for benefits, keep up with your premium payments as per your selected schedule and ensure your employment details are current.

For a full rundown on payment terms and more details, you should consult the official ILOE payment guidelines.

Where Can I Subscribe to ILOE Insurance in the UAE?

The ILOE insurance scheme, initiated on January 1, 2023, offers a range of subscription and payment options to suit different financial situations and preferences. You can pay your premiums monthly, quarterly, or semi-annually, or even make an annual or full payment.

1. ILOE Portal/App:

To avoid any hidden fees, you can make your payments through the ILOE portal or the ILOE mobile app (download here for Apple and here for Google Play), which is managed by Dubai Insurance. You can also make payments in person or directly at Dubai Insurance’s authorised service centres or contact their official call centre.

2. Deduction From Wages:

Many employers provide the convenience of deducting insurance premiums directly from your wages, which can be arranged through your employer’s human resources department.

3. Other Service Providers:

Payments can also be made through exchange centres, business centres, via SMS and telecommunication bills, kiosks, bank apps, and ATMs.

4. Private Entities:

Lastly, private entities such as Al Ansari Exchange, MBME Pay, uPay, Botim, and C3Pay have partnered with Dubai Insurance to offer the service of signing up for ILOE, however additional service charges may apply.

ILOE Insurance Coverage and Eligibility

This guide outlines the scope and specifics of what ILOE insurance covers, along with the eligibility requirements.

Eligibility

Who is Eligible? To be eligible for ILOE insurance, job losses must not be instigated by the employee. Additionally, the policyholders must keep up with premium payments for a minimum of twelve months to be eligible to lodge a claim. Beneficiaries must also be legal residents of the UAE at the time they claim the benefits, and present in the country when submitting a claim.

Who is Not Eligible? ILOE insurance doesn’t provide coverage for individuals on temporary contracts, investors, domestic workers, minors, retirees, and those dismissed for disciplinary reasons. Losses due to external disruptions like war or natural disasters are also not covered.

Coverage Details and Duration

• Salary Compensation: Eligible employees may receive up to 60% of their average basic salary for the six months prior to losing their job.
• Duration: The insurance provides benefits for up to three months per incident.
• Overall Benefit Limitation: Total benefits are capped at 12 months throughout the insured’s career in the UAE to maintain the insurance fund’s viability. Coverage ceases upon reaching the total benefit limit or the death of the insured.

Categorisation of Benefits

Lower Salary Band (Category A): For those earning up to 16,000, with a monthly premium of 5 plus VAT. Benefits are capped at 10,000 per month.

Higher Salary Band (Category B): For those earning more than 16,000, with a premium of 10 plus VAT. The benefits cap increases to 20,000 per month. The total VAT amount is added to the first instalment/payment.

Choosing the Right ILOE Insurance Category with Variable Income

Some workers earn different amounts each month because of allowances, bonuses, incentives or shift patterns. This makes category selection less clear, especially in the first year of employment. ILOE insurance uses basic salary only, so you should rely on the amount recorded in your employment contract and monthly payroll entries. Allowances and commission do not influence your category or compensation calculation.

New employees without income history should select their category based on the basic salary shown in their employment contract. This is the figure recognised by MOHRE and used by the ILOE Insurance Pool when processing claims.

Workers with fluctuating basic salaries should choose the category that aligns with the amount paid most consistently. This helps avoid selecting a bracket that does not match your income level. If your basic salary later increases on a permanent basis, you should update your category once the higher amount appears in official payroll.

The following examples show how different situations lead to the correct category.

Example 1: New Employee With No Salary History

A worker starts with a basic salary of 14,000. Their total monthly income may change, but the basic salary remains stable. Correct category: Category A.

Example 2: Worker With a Variable Basic Salary

A worker receives 15,500 most months, with occasional increases to 16,200. The lower figure reflects their regular basic salary. Correct category: Category A.

Example 3: Worker Receiving a Permanent Salary Increase

A worker earning 16,000 receives a confirmed increase to 18,000. The higher amount becomes their new consistent salary once it is reflected in payroll. Correct category: Category B.

Choosing the correct category ensures that your compensation cap matches your income and that your claim is processed smoothly. The ILOE Insurance Pool checks category selection against your official records, so aligning your choice with your most stable basic salary helps avoid delays and supports accurate benefit calculation.

If your salary structure is complex, review your contract and payroll statements or request written confirmation from your HR department. This will help you select a category that matches the amount used in official assessments.

How to Download Your ILOE Certificate

Acquiring your ILOE certificate can be easily done using digital tools if you are already enrolled in the insurance program but haven’t received your certificate yet. Here’s how you can access your Certificate of Insurance:

1. Visit the ILOE Site

• Portal: Visit the ILOE online portal.
• Mobile App: Alternatively, use the ILOE mobile application.

2. Choose Your Sector

Choose your specific sector from the provided options to ensure you receive services that cater specifically to your industry or personal needs.

3. Verify Your Identity

Enter your Emirates ID and Mobile Number to link to your insurance policy and verify your identity. Request and enter the OTP (one-time password) sent to your mobile.

4. Review and Download

• Navigate to ‘View Policy Details’ to check the specifics of your insurance policy.
• Download your ILOE certificate directly from this section.

How to Make a Claim with ILOE Insurance

1. Confirm Your Eligibility

• Before initiating a claim, ensure that your job loss qualifies under ILOE conditions, which excludes voluntary resignations and dismissals due to misconduct. Investors, business proprietors, domestic employees, individuals engaged on temporary contracts, people under 18 years old, and retirees who receive a pension and have started a new job are also ineligible for the ILOE insurance scheme.
• You must be legally present in the United Arab Emirates.
• Verify that you have been contributing to the scheme for at least 12 consecutive months.
• Claims must be submitted within a 30-day bracket from the date of termination.

2. Gather Required Documentation

• Proof of Employment and Termination: Collect documents such as your termination letter, which should state the reason for job loss as involuntary.
• Salary Evidence: Prepare the last six months’ salary slips or bank statements to demonstrate your average basic salary.
• Emirates ID: Have your Emirates ID ready for identity verification purposes.

3. Initiate and Submit the Claim

• Visit the ILOE Portal or App: Claims may be made through the ILOE portal, mobile app, ILOE call centre, or any other specified channels by MOHRE in coordination with the Insurance Pool.
• Claim Section: Navigate to the claims section and select the option to initiate a new claim.
• Enter Required Information: Fill out the claim form with accurate details about your employment and the nature of your job loss. Upload the necessary documents that support your claim.
• Submit the claim and take note of the claim reference number provided for future reference.

4. Claim Processing

• Once submitted, your claim will be processed by the insurance provider.
• The processing time can vary; during this period, you may be contacted for additional information or clarification.

5. Track Your Claim Status

• Keep track of your claim status through the digital dashboard on the ILOE portal or app.
• If needed, you can contact the customer service for updates or assistance.

6. Receive Your Benefits

• If your claim is approved, the benefits will be disbursed directly to your bank account as per the policy terms.
• Payment is typically made within 2 weeks after claim approval.

7. Address Discrepancies

• In case of any discrepancies or if your claim is denied, review the reasons provided and consider whether to appeal the decision.
• Consult with ILOE support or a legal advisor if necessary to understand further steps or rectification measures.

ILOE Insurance Fines

As discussed, enrolment in the ILOE insurance scheme is compulsory for all private and federal government sector employees in the UAE.

Fine Type	Amount
Failure to Enrol	400
Delayed Premium Payments	200

Additional Information About These Fines

Failure to Enrol

Employees who did not subscribe by 1 October 2023, or within four months of starting work after 1 January 2023, receive a 400 fine. The fine remains on record until it is fully settled.

Delayed Premium Payments

If premiums remain unpaid for more than three months, a 200 penalty applies. In some cases, the insurance certificate may be cancelled until payments are brought up to date.

How Fines Are Collected

MOHRE may deduct penalties through the Wage Protection System, end-of-service benefits, or other authorised methods. Workers may request instalments or a waiver depending on their circumstances.

Impact on Work Permits

Unpaid fines can delay or block work permit issuance. Employees must clear all dues before new permits can be processed.

For comprehensive information, refer to the Ministerial Resolution No. 604 of 2022 regarding the Unemployment Insurance Scheme.

Resolving Issues with ILOE Claims

If you encounter problems with your ILOE claim, consider the following steps to address them:

1. Collect Relevant Documents

Start by compiling all pertinent documents related to your unemployment situation. This should include your termination letter, any related communication with your employer, and your insurance policy information.

2. Submit a Formal Claim:

In cases of claim rejections or disputes over the benefit amount, initially file a claim through the official channels provided by your insurance provider, such as the ILOE Portal or ILOE App.

3. Request Clarification

If your claim is disputed or denied, contact the insurance provider for detailed clarification. You can contact them via email at claims@iloe.ae or via telephone at 600 599 555.

4. File a Formal Complaint

Should the issue persist, submit a formal complaint. This should be directed to the Ministry of Human Resources and Emiratisation.

5. Consult a Legal Advisor

For complex issues, such as claims of unfair dismissal or discrimination, it might be wise to seek legal counsel. A lawyer can assess the merits of your case and advise on the appropriate actions to take.

6. Initiate Legal Action

As a final measure, if the dispute remains unresolved via internal channels or through the Ministry, consider taking legal action in the UAE courts. Be mindful that this step should be a last resort due to the potential for significant expenses and time commitment.

7. Maintain Thorough Records

Keep meticulous records of all interactions and paperwork exchanged during the dispute process. Regular follow-ups and organised documentation are vital for effectively managing and potentially resolving your claim.

Planning Ahead with ILOE Insurance

In these unpredictable times, ILOE insurance is a lifesaver for Emiratis and Dubai residents. It provides a financial cushion, ensuring that you’re not left high and dry if you lose your job. This mandatory safety net protects against unexpected job loss, helping you maintain financial stability during tough times.

To fully benefit from the scheme, keeping up with your payments and knowing the conditions to claim your benefits is essential. You can confidently navigate your professional journey, knowing the ILOE Insurance scheme has your back.

Frequently Asked Questions

Who is Exempt from ILOE insurance in the UAE?

While the ILOE scheme is designed to offer financial protection to most employees in the UAE, certain categories of workers are not required to subscribe. These include investors, business owners, domestic workers, temporary contract workers, individuals under 18, and retirees receiving a pension and taking up a new job.

Is ILOE Mandatory in UAE?

Indeed, the ILOE scheme is obligatory for most employees in the UAE, including those in the private sector and the federal government. It