Dubai had planned to follow in the footsteps of Abu Dhabi’s mandatory health care insurance scheme but, owing to a change in the financial climate, the scheme was suspended, leaving a large percentage of low-income foreign workers unable to afford treatment in the country.
While government reforms and initiatives focused on ensuring access to medical insurance for every Dubai resident, rising health care costs and a lack of facilities are holding the city down.
“Mandatory health insurance is a necessity in Dubai because there are a lot of individuals who do not have the elementary right of having health insurance,” Dr Hazem Al Madi, executive vice-president and head of the health department at Oman Insurance, told Gulf News.
Al Madi believes that before Dubai is able to implement the new health care law, it needs to have more health care providers. “There is a big demand in the market for good hospitals. Currently the number of health care providers and insured members is equal but it is not enough for everyone. Clients are already having difficulty in booking an appointment. Imagine if the number of clients doubles.”
Currently, only nationals and certain expatriates enjoy health care provided by their employers. The postponement of mandatory health care will mean that access will remain patchy, since a large number of low-wage expatriates will have to pay for their own treatment, or rely on the goodwill of their employers.
Flip side
However, Al Madi says that mandatory health care in Abu Dhabi has backfired as far as the cost of treatment is concerned. “In Abu Dhabi the visits per capita increased tremendously when it should have decreased. An increased number of insured members should have meant decreasing administration costs. However, figures are showing that in the last three years, prices are going higher. Health care providers are over-investigating the patients and increasing the average cost per visit.”
Dr Al Madi explained that while the treatment for something as common as a cough or flu used to cost an average of Dh260-Dh270 across the UAE, after the mandatory health care law was implemented in Abu Dhabi, the same treatment now costs more than Dh580.
The high cost of health care and exorbitant price of medicines also affects those without insurance. “This can be reduced by more companies being invited to register products and by allowing generic medicines,” says Dr Azad Moopen, chairman of DM Healthcare. “The industry should not be run by … trade names. There should be a right to substitute.”
Dr B.R. Shetty, managing director and CEO of the New Medical Centre Hospital, suggests that more multinationals should be requested to manufacture locally, allowing for a more affordable supply.