What is Workmen Compensation Policy UAE

6 min readDec 11, 2023

Workmen Compensation Insurance is an insurance policy which protects the employees in case of an injury or accident and also secures the employer from any liability towards the employee. This workmen compensation policy UAE , keeps both the parties i.e the employer and the employee safe if the worker or employee get injured while working. Moreover, The Ministry of Labour has the workers compensation law no. 8 which safeguards the employees rights if any accident occurs.

Benefits of Workmen Compensation Policy UAE

There are many benefits included in this policy as opposed by a very small premium attached to it. The main benefits of this policy are discussed below:

1- Death while working / Occupational Death

Working on a construction site or project , fixing a/c units , working with hand held power tools and all other jobs which are heavily prone to fatal risk are covered in this insurance policy. This cover insures the worker/employee in case of death while working, with a compensation of 24 months basic salary. However, Limited to a minimum compensation of 18,0000 to a maximum of 35 ,000.

2- Permanent Total / Partial Disability

The worker or employee who is unable to work for a period of 12 months or more. Resulting from an accident is declared as Permanent Total Disability. The compensation given will be equivalent to the death while working cover. Examples of injury can be a broken spine , loss of both arm or legs , lost of eyes , etc.

Permanent Partial Disability can be defined as, a part of the body which is totally damaged but the worker is able to work. The benefit given shall be a percentage equal to death cover which will be decided by the insurance company. The examples of such injuries can be loss of one finger , loss of an eye , loss of one toe , etc.

3- Temporary Total / Partial Disability

The injury which effects the ability of the worker to work for a certain period of time is known as Temporary Total Disability. The worker can return to work after recovering from the accident. The benefits of this cover are given as reimbursement of wages of the employee or worker. The examples of injury can be a fractured arm or leg.

Temporary Partial Disability can be said as any injury which does not allow the worker to perform his duties fully but can work on a reduced level. The compensation given is a percentage of temporary total disability which is decided by the insurance company. The examples of such injury can be a cut in the arm of leg.

4- Loss Of Wages

Any accident for which the doctor has recommended or given a couple of days medical leave certificate to the worker. The salary or wages for the given number of days is reimbursed by the insurer, excluding the first day. The example of such injury would be pain in shoulder or leg resulting from picking heavy objects.

5- Medical Expenses

Medical expenses cover is the main reason so many organizations choose workmen compensation policy uae. Any cost related to the treatment of the worker resulting from an injury on job is covered in this policy. The costs include doctors consultation , blood tests , x-rays , pharmacy bills , bandaging , surgeries , rehabilitation equipments , etc. In addition, the medical bills are covered up to a certain limit offered by different insurance companies. It can range from 15,000 to 35,000 per person on individual basis.

6- Repatriation Expenses

This cover is for the unfortunate worker who lost his life to a fatal accident while working. His mortal remains can be transported to his home country which is covered by the insurance. The limit of cover varies from 10,000 to 20,000 per person.

Extensions or Add-on covers

Surprisingly, Workmen compensation insurance has two add-on covers which can be added in the policy. The covers are defined as under :

1- Employers Liability

In the UAE , the employer is responsible for his workers in case an accident takes place. The employer can be held liable for not providing them necessary safety equipment or held accountable for any other negligence resulting in an injury to the worker while on job. For the protection of the employer this cover comes as a sigh of relief.

For example a worker while doing work on a construction site falls due to safety harness wear and tear. The employer will be held responsible and the court shall order to pay the blood money. Blood money has to be paid according to shari’a law which is 200,000. Or if the deceased family members file a law suit against the employer for the negligence. Then also the court shall ordered to pay blood money to his beneficiaries. In this , the employers liability insurance will take up the heavy financial burden and the court defense costs. The limit covers 500,000 any one claim or a total of 1,000,000 for multiple incident in the given policy period.

2- 24 hours extended cover

Any accident which takes place out of the work place and working hours will also be covered in it. The example can be , a worker mets with a road accident while crossing a road coming to home from work , worker gets bitten by a snake while going home , etc.

To Conclude

This insurance policy covers an immense amount of risks for the worker and also the employer. The employer benefits are way higher then the amount paid yearly for this policy.

Get in contact with Dubai Online Insurance to get the best price. Moreover, we have years of extensive experience in workmen compensation insurance policy in the UAE.

FAQ

Is workmen compensation policy compulsory in the UAE ?

It can be said as compulsory, as it is demanded by the main contractors from the subcontractors. So in case of any accident the main contractors is not held responsible for any injury on site. Any work , in which man power is needed, it needs to have this insurance before starting work.

How do i find my workers comp policy ?

Well, you can get your insurance from Dubai Online Insurance. We can provide you coverage by the end of one business working day.

How much does it cost to get workers compensation insurance ?

This policy’s cost depends on the total number of employees annual wages. The annual wages exceeding a certain amount would increase the cost. Otherwise the cost will remain at minimum which is 750. However, the cost varies from business to business.

Why is workers compensation so expensive ?

It is not expensive at all. Furthermore, the covers are way more beneficial if compared with its cost. Workers Compensation is the cheapest policy in UAE which safeguards workers , employees and the employers.

Our Services

We are one of the best insurance service providers in Sharjah. We offer most of the insurance products which are competitive and very cost effective. However, it is recommended by Dubai Online Insurance to secure your workers for a very small price which will give you great benefits in your operational business.

We as
an Insurance(Tameen) specialist, specialize in the following areas :

Moreover, we provide other covers beside these. If you have any queries feel free to contact us, and we will designate an insurance agent to you who will guide and answer your queries. Our fast, efficient, courteous team will be at your service.

Email : info@dubaionlineinsurance.com

Tel : 050 717 9800

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