UAE LAW ABOUT MANDATORY INSURANCE FOR RESIDENTS, CHANGES IN CORPORATE LAW: PUBLIC LIMITED COMPANIES, ANTI-MONEY LAUNDERING AND ZERO BUREAUCRACY PROGRAM
#nEWSLETTER#2 20.11.23
#nEWSLETTER#2 20.11.23
movingo business dispatch
All the updates in local laws & regulations are carefully curated by our legal team and sent out every 2 weeks
Today, as part of our participation in the MoHRE and ICP campaign on residency and labor laws, let's discuss insurance in the context of employment.
Mandatory Insurance for Residents
Employer Responsibility: Be Aware of Health Insurance Coverage
Employers and visa sponsors are now compelled to provide health insurance coverage, a pivotal move initiated by the Dubai Health Authority (DHA). This legislation aims to make health insurance mandatory for every individual residing in Dubai.
The average cost of a one-year insurance plan starts at a reasonable 900 AED.
Employer Responsibility: Be Aware of Health Insurance Coverage
Employers and visa sponsors are now compelled to provide health insurance coverage, a pivotal move initiated by the Dubai Health Authority (DHA). This legislation aims to make health insurance mandatory for every individual residing in Dubai.
The average cost of a one-year insurance plan starts at a reasonable 900 AED.
All the employees are obliged to apply for Unemployment Insurance
In a proactive step towards social security, Dubai introduced the Unemployment Insurance scheme.
Targeting Emiratis and residents employed in federal and private sectors, this insurance offers crucial financial support in case of job loss due to employer termination.
The annual subscription cost ranges from 60 to 120 AED, ensuring accessibility for a broad demographic. Compensation is structured between 10,000 to 20,000 AED monthly, providing a safety net for up to three months.
Workers may subscribe to the Unemployment Insurance scheme through the ILOE Insurance Pool website.
Beginning January 1, 2023, it is mandatory for both federal government and private sector employees to subscribe to the Unemployment Insurance scheme.
In a proactive step towards social security, Dubai introduced the Unemployment Insurance scheme.
Targeting Emiratis and residents employed in federal and private sectors, this insurance offers crucial financial support in case of job loss due to employer termination.
The annual subscription cost ranges from 60 to 120 AED, ensuring accessibility for a broad demographic. Compensation is structured between 10,000 to 20,000 AED monthly, providing a safety net for up to three months.
Workers may subscribe to the Unemployment Insurance scheme through the ILOE Insurance Pool website.
Beginning January 1, 2023, it is mandatory for both federal government and private sector employees to subscribe to the Unemployment Insurance scheme.
DIEZA Unveils the Game-Changer: Public Limited Company (PLC)
In a groundbreaking move, the Dubai Integrated Economic Zones Authority (DIEZA) introduces the Public Limited Company (PLC), a paradigm shift in the business landscape:
1. Limitless Shareholders: PLC breaks free from constraints, with no limits on the number of shareholders, fostering inclusivity and expansive growth.
2. Diverse Share Classes: Embracing versatility, PLCs at DIEZA can delve into a variety of share classes, promoting flexibility and strategic financial maneuvering.
3. Currency Freedom: Liberation reigns as PLCs enjoy the liberty to denominate their share capital in any currency, commonly opting for US dollars or UAE dirhams, amplifying international engagement.
In a groundbreaking move, the Dubai Integrated Economic Zones Authority (DIEZA) introduces the Public Limited Company (PLC), a paradigm shift in the business landscape:
1. Limitless Shareholders: PLC breaks free from constraints, with no limits on the number of shareholders, fostering inclusivity and expansive growth.
2. Diverse Share Classes: Embracing versatility, PLCs at DIEZA can delve into a variety of share classes, promoting flexibility and strategic financial maneuvering.
3. Currency Freedom: Liberation reigns as PLCs enjoy the liberty to denominate their share capital in any currency, commonly opting for US dollars or UAE dirhams, amplifying international engagement.
The UAE is doing well to avoid landing on the FATF "grey" list. The FATF will visit the UAE until February 2024
The country has shown progress, especially in improving the way it investigates money laundering, enforcing penalties when financial institutions don't comply with regulations, and increasing the number of prosecutions.
The country has shown progress, especially in improving the way it investigates money laundering, enforcing penalties when financial institutions don't comply with regulations, and increasing the number of prosecutions.
"Red Flags": unveiling indicators to safeguard against money laundering
In a collaborative initiative, the National Committee for Combating Money Laundering and the Financing of Terrorism and Illegal Organizations (NAMLCFTC) and the Central Bank of the UAE introduced a set of key indicators, labeled as "red flags," designed to fortify financial security:
1. Lack of a license from regulatory authorities
2. Reality Check on Promises: Highlighting the need for skepticism, the "red flags" draw attention to unrealistic promises that may signal potential risks.
3. Communication Standards: A red flag is raised for poor communication, emphasizing the significance of transparent and effective communication in financial dealings.
4. Transparency Alert: Lack of information disclosure by regulatory authorities is identified as a potential risk, underscoring the importance of transparency in regulatory processes.
The joint release encourages the reporting of information related to unlicensed activity with virtual assets through information mechanisms. This collaborative effort strengthens regulators' abilities to uphold the law and protect the integrity of the UAE financial system.
In a collaborative initiative, the National Committee for Combating Money Laundering and the Financing of Terrorism and Illegal Organizations (NAMLCFTC) and the Central Bank of the UAE introduced a set of key indicators, labeled as "red flags," designed to fortify financial security:
1. Lack of a license from regulatory authorities
2. Reality Check on Promises: Highlighting the need for skepticism, the "red flags" draw attention to unrealistic promises that may signal potential risks.
3. Communication Standards: A red flag is raised for poor communication, emphasizing the significance of transparent and effective communication in financial dealings.
4. Transparency Alert: Lack of information disclosure by regulatory authorities is identified as a potential risk, underscoring the importance of transparency in regulatory processes.
The joint release encourages the reporting of information related to unlicensed activity with virtual assets through information mechanisms. This collaborative effort strengthens regulators' abilities to uphold the law and protect the integrity of the UAE financial system.
Streamlining Governance: The Zero Government Bureaucracy Program
A bold initiative is underway as the ministries and departments of the country commit to a significant overhaul. Mandated by the Zero Government Bureaucracy Program, the goal is ambitious.
A commitment to cancel a minimum of 2,000 bureaucratic services by 2024, aiming for a leaner and more efficient government structure.
A bold initiative is underway as the ministries and departments of the country commit to a significant overhaul. Mandated by the Zero Government Bureaucracy Program, the goal is ambitious.
A commitment to cancel a minimum of 2,000 bureaucratic services by 2024, aiming for a leaner and more efficient government structure.
