Posted by : Aahil Shaik Tuesday, March 22, 2022

A fine of up to 20,000 riyals per worker on Companies for not providing Health Insurance to its employees - Ministry of Human Resources


The Ministry of Human Resources and Social Development (MHRSD) in Saudi Arabia confirmed that employer must need to provide health insurance for all its workers (Saudi nationals and Resident Expatriates) working in the private sector companies and their dependents.



Those companies who failed to provide medical insurance to their workers in the Kingdom to face a fine of up to 20,000 riyals per employee. The Ministry said, Work is going on to initiate an integrated link with the Health Insurance Council to detect cases of any workers who do not have health insurance coverage and to deal with them online.

- Failure to provide health insurance for workers in the private sector is considered as a violation of employer and the penalties will be imposed on the companies violating the medical insurance regulations, as per the report of AL-Eqtisadiah newspaper.

Category wise fine on companies for not providing Health Insurance to its workers : 

- The violating companies with 51 or more employees shall have to pay a fine of maximum 20,000 riyals on each worker, who is in the category A but did not have insurance. While for the Category B with 11 to 50 workers in a company to pay 5,000 riyals on each worker and the Category C with 10 or less workers will be slapped with 2,000 riyals fine on each worker. Most Viewed : Procedure to check Health Insurance validity using Iqama number or National Id

- The Ministry also said that, it is monitoring violations through its field and office monitoring visits and immediately deals with reports received through ministry's call center or Together for Monitoring application to deal with reports and complaints related to violations of Labor Law.

- The Ministry is continuously conducting campaigns, in coordination with the Health Insurance Council, to make sure that all the companies and establishments are complying with the regulations of health insurance for their workers.

- According to a report, over 10 million (10,070,879) people registered with health insurance policies in Saudi Arabia. Of them more than 6.5 million (6,567,734) people are employees with 1,500,220 Saudi nationals and 5,067,514 are expatriates, 2,146,090 are Saudi dependents and 1,357,055 are expat dependents. See Also : Check Visit Visa health insurance validity in Saudi Arabia

- Recently, Health Insurance Council organized a event named 'Software Conncectathaon' to empower stakeholders, by easing the processes of linking on the unified national health platform Nafis, reported Saudi Gazette.

- The aim of the event is to raise the level of quality and efficiency of services and transactions in health insurance sector and to contribute in finding solutions to the issues faced by insurance stakeholders. Join Saudi Expatriates channel on imo (limited to mobile app)

- The Health Council is boosting its efforts to promote digital transformation and the use of technical solutions, according to its strategy, which attaches great importance to sustainability and innovation, in light of the participation of health insurance companies, service provides and linkage companies.

A fine of up to 20,000 riyals per worker on Companies for not providing Health Insurance - Saudi-Expatriates.com


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