UAE News Today : Politics

Some residents can now get 3 months of cash benefits if they lose their jobs

Some UAE residents are now entitled to monthly cash benefits if they lose their jobs, a senior executive has confirmed.

These are employees who signed up for mandatory job loss insurance when it was first available in January 2023.

These employees also have to renew their policy “immediately” to remain financially protected against job loss, he said.

“The renewal of the plan is mandatory to avoid the cancellation of the insurance certificate”

saying Dana Kansou, Strategic Partnerships Manager, Dubai Insurance — which manages the Involuntary Loss of Employment (ILOE) insurance group.

Failure to renew policies is punishable by a 400 dirhams good.

Claim compensation

Among the conditions to claim compensation is that the claimant must be subscribed to the OITE regimen for at least 12 months. This means that people who signed up in January 2023 are eligible to receive compensation now. Kansou saying.

To claim compensation,

“Applicants must log in through the OITE website, click on ‘submit a claim’, enter your Emirates ID and a valid UAE phone number and continue with the steps to submit a claim.”

Eligibility Criteria

The plaintiffs must prove that they did not resign and were not fired for disciplinary reasons. They must present the claim within 30 days following the date of termination of the employment relationship.

They cannot claim compensation if they leave the country or get a new job.

At the time of filing the claim, the employee must present the dismissal document indicating the date and reason for unemployment.

Monetary benefits

Once the claim is submitted, the insurance company must transfer the compensatory amount to the insured’s account within two weeks.

Compensation will be paid from the date on which the applicant becomes unemployed. This will be done for three months or until they find another job, whichever comes first.

The amount is calculated at a rate of 60 percent of the average basic salary during the six months prior to unemployment.

Claim Limit

The maximum benefit for any claim is three months. If an employee exhausts the maximum claim limit, the insurance certificate is considered canceled.

They would have to subscribe for another 12 consecutive months before submitting a new claim. This does not apply if the three-month claim limit has not been reached.

Negotiate better conditions

When the law was first announced, it said beneficiaries could negotiate better terms to get higher premiums. However, this has not yet been finalized. The option “will come soon,” he said Kansou.

Residents who have subscribed to the plan for a year have begun receiving reminders to renew their policies.

Eligible employees can renew their insurance in the same way they purchased it: through the OITE website or other subscription channels, such as exchange and business centers; telecommunications partners; kiosks; and banks and ATMs.

What is the OITE?

Emiratis and expatriates working in the federal government and private sector must subscribe to the plan. Exempt categories include investors, domestic employees, workers with temporary contracts, young people and retirees who are entitled to a pension.

The ultra-low cost plan is divided into two categories:

The first covers those who have a base salary of 16,000 dirhams or less, where the insurance premium is set at 5 dirhams per month (60 dirhams per year). The maximum monthly remuneration is set at 10,000 dirhams.

The second covers those who have a higher base salary 16,000 dirhams, where the insurance premium is 10 dirhams per month (120 dirhams per year). The monthly compensation for this category is capped at 20,000 dirhams.

News Source: Khaleej Times

Social Links : Facebook : Twitter : Youtube  : Linkedin  : Instagram : Pinterest : TikTok : Wordpress : Google : Blogger : Medium :

Our Partners : : : : : : : : : : : : : : : : : : : : : : : : : : :

UAE News Today :

UAE News Today : Latest UAE News, Dubai, Abu Dhabi, Sharjah & Middle East News : Get the latest updates & breaking headlines news from across the UAE including Dubai and Abu Dhabi UAE. Get the latest update on UAE, business, life style, UAE jobs, gold rate, Exchange rate, UAE holidays, Dubai police, RTA and prayer times from UAE's largest news.

Related Articles

Back to top button