July 2007
The Middle East and Dubai in particular, has long been a source of fascination for people all over the world.  From the wind swept desert, to the rapidly developing city of Dubai, millions of people visit the emirate every year.  Located in the United Arab Emirates, Dubai has a reputation for being the most modern city in the country.  As one of the fastest growing cities in the world, Dubai offers many opportunities for expatriates from across the globe.  Many foreign nationals are choosing to relocate to the city due to the change in lifestyle and the increased financial opportunities that Dubai can offer.

Despite the way that the United Arab Emirates have forced themselves onto the international stage, one of the key issues that many UAE expatriates are unaware of when choosing to relocate to the country is the state of the nation’s health care system.  Dubai boasts some of the finest hospitals and medical facilities in the world.  There are numerous centers of medical excellence located throughout the emirate that have the capabilities to deal with most medical situations.  However, it is important to note that even though the costs associated with these hospitals and clinics are not as expensive as in many western countries, they are still not cheap cheap. 

Foreign nationals in Dubai are required to have a comprehensive health insurance policy prior to entering the country.  When expatriates achieve residency they are provided with a local health insurance card that will give them significant discounts at many of the countries medical facilities. This low cost healthcare is one of the many appealing aspects of the UAE that is attracting an increasing number of expatriates to the country every year. 

However, it is not all good news. Expatriates without a local residency card will expect to pay much higher bills when obtaining medical care making a comprehensive international health insurance policy a necessity for any foreign national considering permanent relocation or a trip to the UAE.

When looking at international health insurance plans in Dubai it is vital that you consider a number of key areas. These are;

• The global portability of the plan
• The renewal limit of the policy
• The core coverage benefits
• Additional coverage
• Premium rating

The 5 areas listed above are the most important aspects of any health insurance policy and can be the difference between a plan that provides the most comprehensive cover available and one that doesn’t.

Let's start with the first area; global portability.  One of the key aspects of any international health insurance policy is the fact that they are globally portable.  This means that if you purchase a plan to cover yourself and your loved ones while you are in Dubai you are guaranteed continuing coverage when you leave.  Many of the local health insurance plans available throughout the world and the middle east will not provide the policyholder with coverage when they have left the country, meaning that even if you go on vacation overseas you will lack the protection that you need.  International health insurance plans, on the other hand, will give you the freedom to choose any doctor or hospital in the world with which you can receive treatment.  This means that even if you are living in Dubai, but would like to undergo a medical procedure in the USA or UK, then you can do so.  International medical insurance means that even though you may live in another country, you are still able to visit and be treated by the doctors and healthcare facilities that you trust.

The second area, renewal limit of the policy is one place that many expatriates who are purchasing health insurance outside of their home countries often overlook. Many local insurance plans will typically have a limit placed on the age at which a policyholder can renew their policy.  This age limit will change with insurance companies and insurance plans, and it is important that you know how long you are able to stay on the policy for.  Most International health insurance plans, however, are guaranteed renewable for life.  This means that even if you develop a serious medical condition while on the policy, you will still be able to renew your plan.  This is one area where international medical insurance plans are very different from local health insurance.

Every type of health insurance policy, whether it is in Dubai, or the USA, will have a core plan (or benefits).  A core plan is the benefits that you will receive should you need in-patient (over night hospitalization) treatment.  Most in-patient plans will typically offer the same types of coverage for; hospital accommodation, surgical fees, intensive care unit, diagnostic tests and various medicines and dressings.  Many of the in-patient benefits will change between insurance companies, and it is very important that you understand exactly what you are covered for.  Typically international health insurance plans will offer a higher level of coverage than local health insurance plans.  It is important that with your in-patient plan that you know what levels of deductible (excess) or co-pay may be applicable in your situation. A deductible is the total amount of money that the policyholder will pay towards the cost of treatment and can range from $0 - $250 and higher.

When looking at the core benefits it is also important to decide which additional benefits you would like coverage for.  Many coverage options, such as a maternity benefit, will have a waiting period attached to the benefit.  If you are planning on becoming pregnant or starting a family it is important that you think ahead and obtain an insurance plan that will provide protection for the delivery.  Many of the additional coverage benefits that plans will offer are dental, out-patient, emergency evacuation, new born child protection, and specialist consultations.  Local plans will typically not have much flexibility when it comes to what additional coverage a policyholder can obtain, while many international health insurance plans will afford the policyholder the opportunity to tailor the plans coverage options to meet their specific requirements.

The final area that you should look at when obtaining an insurance plan in Dubai or the Middle East is the way that the insurance company calculates a policy’s premium.  The major difference between local and international health insurance plans when it comes to premium calculation is that many local plans will calculate premiums based on the policyholders claims history while international health insurance plans are community rated.  This means that rather than penalizing a policyholder for making claims on their plan, an international health insurance policy will calculate the premiums solely based on the policyholders age and geographic area of coverage, giving you the assurance that no matter how much medical treatment you receive, you will always be paying the same premium as everyone else in your age group.

Dubai and the Middle East are currently experiencing an economic and political boom.  With an east meets west culture and a readiness to embrace the modern world Dubai is currently one of the most prosperous cities in the world.  However, despite the modernization that the city is currently undergoing, the medical expenses there are still extremely high in comparison to the rest of the region.  Add to this the fact that all foreign nationals who are going to the UAE are required to obtain a health insurance plan, and it becomes a necessity for you to protect yourself and your loved ones.

The Insiders Guide to Thriving in Dubai - Wedged between Europe and Asia, buttressed by Africa, Dubai’s encouraging tax regime, and robust business environment have produced a country that is building energetically on the advantages which location, centuries-old trading savvy and oil wealth have given it. While much of the Bedouin way of life in Dubai has disappeared in the shiny reflections of the glass and glitz towers, desert now devoured by modern highways, bridges and underpasses, the essence of Arabia remains alive in busy side streets and along the creek. This is a country where the dust of the desert is clearing to reveal the potential for one of the most significant international cities of the 21st century.