The Insurance Authority expected the sector to register a growth of 10% during the current year, noting that it is working in cooperation with the relevant authorities to prepare a project to provide compulsory health insurance for visitors.
During the health insurance conference that started in Dubai yesterday, and lasts for two days, the authority stressed the necessity of continuous development of the legislative and regulatory base for this sector, and enhancing its linkage and integration with technology and innovation in order to provide the best services.
Significant growth
In detail, the Minister of Economy and Chairman of the Board of Directors of the Insurance Authority, Sultan bin Saeed Al Mansoori, expected that the health insurance sector in the country would witness remarkable growth in light of the continued economic growth, high insurance and health awareness, and the expected large increase in the numbers of visitors and tourists on the sidelines of the state hosting the events of the exhibition « Dubai Expo 2020 ».
Al-Mansouri stressed in the speech delivered on his behalf the Director General of the Insurance Authority, Ibrahim Al-Zaabi, the necessity of continuous development of the legislative and regulatory base for this sector, and enhancing its linkage and integration with technology and innovation in order to provide the best services and products that meet the needs of individuals.
He said that, based on the role of the Insurance Authority in regulating the insurance sector in the state, the authority is constantly keen to develop the sector in all areas, including health insurance, in a manner that ensures the provision of an appropriate environment for its development, and strengthening the role of the insurance industry in ensuring people, property and responsibilities against risks to protect the national economy .
Health insurance premiums
Al-Mansouri explained that the health insurance premiums constituted 43.6% of the total written premiums in the insurance sector for the year 2018, at a value that amounted to 19.1 billion dirhams, and the health insurance branch contributed compensations paid in the amount of 15.1 billion dirhams, including 51.4% of the total compensation paid at the level of Sector.
He added that the Insurance Authority worked to develop the organization of the work of the medical contract claims management companies, which number 26 companies at the end of 2018, given the vital role these companies play in managing the health insurance system, in order to ensure the achievement of quality in the services of the sector.
Al-Mansouri indicated that in conjunction with the economic progress in the countries of the region and the high rates of social development, the health care services sector in the region witnessed important transformations, which led to positive results, as the expectations of specialized institutions indicate that spending on health care in the Gulf Cooperation Council countries will reach About $ 70 billion this year, which is half of the volume of spending in the Middle East and North Africa, while those expectations indicate an increase in the compound annual growth rate of this sector by about 12%, the highest rate among all regions of the world.
Support growth
In addition, the Director General of the Insurance Authority expected that the insurance sector will register 10% growth this year, pointing out that the importance of the "Expo 2020 Dubai" exhibition is within the framework of supporting the sector's growth.
He said in statements to the media on the sidelines of the conference, that work is underway to study the authority and the competent authorities to provide compulsory health insurance for visitors, expecting that the project will be ready before the end of this year.
And on the coverage of health insurance for the new corona virus, Al-Zaabi explained that all infectious diseases are covered according to the insurance policies in the country, unless the competent authorities announce that the disease is an epidemic.
Supervision and control
For his part, the Chairman of the Emirates Insurance Association’s Board of Directors, Khalid bin Mohammed Al Badi, stressed the need for the health insurance supervision and control bodies to continue to carry out their responsibilities regarding developing and updating legislation regulating this vital and important type of insurance, in a manner that ensures control of the relationship between its parties and ensuring the rights of policyholders. And beneficiaries, to include regularizing the conditions of health care companies and medical expenses management companies, and activating control over them.
Insurance market developments
The health insurance conference discusses the latest developments in the health insurance market with the participation of officials and experts in health insurance organizations. The conference also attracts speakers from the reinsurance market to talk about the vision and future of the health insurance market in the UAE from the perspective of these companies. The conference includes panel discussions that address the topics raised by the speakers, and answer questions from the attendees, who exceeded 120 officials, insurance and health insurance experts, and medical contract claims companies.
43.6%
Of the insurance premiums written in 2018 were acquired by health insurance.