DUBAI: Employees in the United Arab Emirates (UAE) must now renew their Involuntary Loss of Employment (ILOE) insurance for two years instead of one.
This change aims to reduce renewal lapses and ensure uninterrupted coverage.
The policy remains mandatory for Emirati and expatriate employees across public, private, and free zone sectors, with non-compliance resulting in fines.
How to renew your ILOE Insurance
Renewing your ILOE insurance is a straightforward process that can be completed online or through authorised payment centres.
- Visit the official ILOE portal
- Click on ‘Subscribe/Renew Here’
- Enter your Emirates ID and mobile number
- Verify your identity using the OTP sent via SMS
- Check your details and confirm the renewal term
- Proceed with the payment using a debit or credit card
- Receive confirmation of successful renewal
Alternatively, you can renew your policy in person at Al Ansari Exchange branches or MOHRE service centres, such as Tawjeeh and Tasjeel.
Costs and compensation
The cost of the insurance policy depends on the employee’s basic salary and falls into two categories:
Category A
Employees earning Dh16,000 or less per month
- Premium: Dh5 + VAT per month (Dh126 for two years)
- Compensation: Up to Dh10,000 per month for up to three months per claim
Category B
Employees earning above Dh16,000 per month
- Premium: Dh10 + VAT per month (Dh252 for two years)
- Compensation: Up to Dh20,000 per month for up to three months per claim
Who is eligible for ILOE?
The ILOE scheme is mandatory for all employees in the UAE, including free zone workers, with certain exceptions. Those not required to subscribe include:
- Business owners and investors
- Domestic workers
- Temporary or part-time employees
- Retirees with pensions who have taken up new employment
- Employees under the age of 18
What happens if you don’t renew?
Failure to renew the ILOE policy will result in a fine of Dh400. The fine is automatically deducted through UAE government channels. Additionally, those without valid insurance will not be able to renew work permits or visas.
Claiming ILOE Benefits
Employees can claim their unemployment benefits if they:
- Have been subscribed for at least 12 consecutive months
- Lost their job due to circumstances beyond their control
- Were not terminated for disciplinary reasons
- Submit the claim within 30 days of job loss
Claims can be submitted via the ILOE website, mobile app, or by contacting the call centre at 600599555. The payout process takes approximately two weeks from the date of claim submission.
UAE’s job protection framework
The UAE’s ILOE scheme, introduced in 2023, aligns with similar programmes in Bahrain and Saudi Arabia, which offer financial security for jobseekers. The initiative aims to attract global talent and provide a financial cushion to employees facing unexpected job loss.
With over nine million subscribers, the ILOE scheme plays a crucial role in stabilising the workforce.