ILOE Insurance in UAE 2026: Complete Guide for Expatriates

Losing your job is stressful enough without having to worry about how you’ll pay rent or put food on the table. That’s where the UAE’s Involuntary Loss of Employment (ILOE) insurance comes in. This mandatory scheme provides a financial safety net for employees who lose their jobs through no fault of their own.

If you’re working in the UAE, understanding ILOE insurance isn’t optional. It’s a legal requirement, and more importantly, it could be the difference between managing a job transition smoothly and facing immediate financial hardship. This guide covers everything you need to know about ILOE insurance in 2026.

What is ILOE Insurance?

ILOE stands for Involuntary Loss of Employment. It’s a government-backed unemployment insurance scheme introduced by the UAE under Federal Decree Law No. 13 of 2022 and made mandatory from January 1, 2023.

The scheme is administered by the Ministry of Human Resources and Emiratisation (MOHRE) in collaboration with Dubai Insurance Company and other approved insurers. Its primary purpose is to provide temporary financial support to employees who lose their jobs due to circumstances beyond their control, such as company downsizing, redundancy, or termination.

Think of it as a financial cushion that gives you breathing room to search for new employment without immediate panic about meeting your basic expenses.

Who Needs ILOE Insurance? Mandatory Requirements

ILOE insurance is mandatory for the following categories of workers in the UAE:

Required to Subscribe:

• Private sector employees working in mainland UAE
• Federal government employees
• Free zone employees (with some exceptions, see below)
• Both UAE nationals and expatriates aged 18 to 60 years
• All employees with valid UAE work permits

You must subscribe to ILOE within four months of starting your employment in the UAE. Failure to do so results in penalties.

Who is Exempt from ILOE?

Not everyone needs to subscribe. The following categories are exempt:

• Investors and business owners who own their companies
• Domestic workers (housemaids, nannies, drivers, gardeners)
• Temporary or part-time employees on short-term contracts
• Juveniles under 18 years of age
• Retirees receiving pensions who have rejoined the workforce
• Employees in the Dubai International Financial Centre (DIFC) – DIFC operates under its own regulatory framework and ILOE is not mandatory for DIFC employees

Important note: Even if you work in a free zone, you are generally required to subscribe to ILOE. Free zone employees follow the same regulations as private sector employees, though you should verify specific requirements with your free zone authority.

How Much Does ILOE Cost?

The good news is that ILOE insurance is remarkably affordable. Your premium depends on your basic salary, and you fall into one of two categories:

Category A:

• Basic salary: AED 16,000 or less per month
• Monthly premium: AED 5 (plus VAT)
• Annual cost: AED 60 (plus VAT)

Category B:

• Basic salary: More than AED 16,000 per month
• Monthly premium: AED 10 (plus VAT)
• Annual cost: AED 120 (plus VAT)

Payment Options:

You can choose how frequently you want to pay your premiums:

• Monthly
• Quarterly
• Semi-annually
• Annually

You can also subscribe for either a 1-year or 2-year policy period. VAT is added to your first installment or payment.

Note: If you’re paid on a commission basis and your employment contract doesn’t specify a basic salary, you can choose your contribution category.

What Does ILOE Cover? Benefits Explained

Understanding what you’ll receive if you lose your job is crucial. Here’s what ILOE provides:

Compensation Amount:

• 60% of your average basic salary from the last 6 months before unemployment
• Maximum monthly benefit:
  • Category A: Up to AED 10,000 per month
  • Category B: Up to AED 20,000 per month

Benefit Duration:

• Up to 3 consecutive months per claim
• Payments continue until you find new employment, leave the UAE, or exhaust the 3-month period

Lifetime Aggregate Limit:

• Maximum 12 months of benefits over your entire working life in the UAE, regardless of how many claims you submit
• For example, if you claim 3 months now and 3 months later, you’ve used 6 of your 12 available months

What ILOE Does NOT Cover:

It’s equally important to understand when you cannot claim ILOE benefits:

• Voluntary resignation – if you quit your job
• Dismissal for disciplinary reasons – if you were fired for misconduct, violation of company policies, or poor performance
• Fraudulent claims – if the claim involves deception or a fictitious employer
• Job loss due to labour strikes – if unemployment resulted from non-peaceful strikes or stoppages
• Abscondment – if there’s an active abscondment complaint against you

Eligibility Requirements to Claim Benefits

Even if you’re subscribed to ILOE, you must meet specific criteria to receive compensation:

1. Minimum Subscription Period

You must have been subscribed to ILOE for at least 12 consecutive months before you can claim. A brief interruption is allowed, but it cannot exceed 3 consecutive months.

2. Timely Premium Payments

All insurance premiums must be paid according to your chosen payment schedule. If premiums remain unpaid for more than 3 months from the due date, your policy will be cancelled.

3. Proof of Involuntary Termination

You must prove that unemployment was due to termination, not resignation. Your employer’s termination letter must clearly state “termination” as the reason.

4. No Disciplinary Dismissal

You cannot have been dismissed for disciplinary reasons according to UAE labour law.

5. Work Permit Cancellation

Your employer must cancel your work permit before you can file a claim.

6. Timely Claim Submission

You must submit your claim within 30 days from the date of employment termination or settlement of any labour court complaint.

7. Legal Presence in UAE

You must be legally present in the UAE when submitting your claim.

8. No Abscondment Complaint

There must be no active abscondment complaint filed against you.

How to Register for ILOE Insurance

Registration is straightforward and can be completed in several ways.

Online Registration (Recommended):

Option 1: Official ILOE Portal

1. Visit www.iloe.ae
2. Click on “Subscribe/Renew Here”
3. Select your employment sector:
   • Private sector employee
   • Federal government employee
   • Not registered in MOHRE (for free zone workers)
4. Enter your Emirates ID number or Unified ID Number (UID)
5. Enter your UAE mobile number
6. Request and enter the OTP (one-time password) sent to your phone
7. The system will automatically categorize you into Category A or B based on your salary
8. Choose your subscription period (1 year or 2 years)
9. Select your payment method and frequency
10. Complete the payment
11. Download your insurance certificate

Option 2: ILOE Mobile App

• Download the ILOE app from the Apple App Store or Google Play Store
• Follow the same registration steps as the online portal

Option 3: UAE Pass Login

• Log in using UAE Pass for faster, biometric-based authentication
• This method automatically retrieves your official identity details from federal databases

Alternative Registration Methods:

If you prefer in-person registration or face technical difficulties online:

• Al Ansari Exchange branches – available across the UAE, accepts cash payments
• Tasheel and Tawjeeh centers – MOHRE business centers
• Etisalat (e&) by SMS – Send “ID [your Emirates ID number]” to 2120
• Payment kiosks – Upay and MBME Pay machines in supermarkets and malls
• Bank mobile apps – Many UAE banks offer ILOE payment through their apps
• BOTIM – Etisalat’s BOTIM service allows ILOE subscription

How to Check Your ILOE Status

Staying on top of your ILOE status helps you avoid fines and ensures continuous coverage.

Check Policy Status:

Method 1: ILOE Portal

1. Visit www.iloe.ae
2. Click “Subscribe/Renew Here”
3. Choose your login method:
   • UAE Pass
   • Emirates ID + OTP
   • Username and password
4. After logging in, you’ll see your dashboard
5. Click “View Policy Details” to see:
   • Certificate number
   • Policy start and expiry dates
   • Payment status
   • Coverage category

Method 2: ILOE Mobile App

1. Open the ILOE mobile app
2. Log in using your credentials or UAE Pass
3. Navigate to “My Policies”
4. View all policy details, payment history, and renewal dates

Method 3: Alternative Service Providers If you subscribed through a bank, BOTIM, or Al Ansari Exchange, you can check your policy status on their respective apps or portals.

Check for ILOE Fines:

If you’ve missed payments or failed to register on time, you may have fines. Here’s how to check:

Via MOHRE Website:

1. Go to www.mohre.gov.ae
2. Navigate to “Services”
3. Select “ILOE Quick Pay”
4. Enter your Emirates ID or labour card number
5. Enter the date
6. Click “Search”
7. Any outstanding fines will be displayed with issuance dates

Via MOHRE Mobile App:

1. Download the MOHRE app (available on Google Play and Apple App Store)
2. Sign in with your UAE Pass or create a MOHRE account
3. Navigate to “ILOE Quick Pay”
4. Enter your card number or Emirates ID
5. Click “Search” to view fines

Understanding ILOE Fines:

• AED 400 fine – for not subscribing to ILOE when required
• AED 200 fine – for failing to pay premiums within 90 days of the due date
• Additional consequences may include work permit suspension and salary deductions

Fines must be paid promptly through the MOHRE portal, app, or authorized payment centers.

How to Renew ILOE Insurance

ILOE insurance must be renewed based on your chosen subscription period (1 or 2 years). You’ll receive renewal reminders via SMS or email.

Renewal Process:

Online Renewal:

1. Visit www.iloe.ae or open the ILOE mobile app
2. Log in using UAE Pass, Emirates ID, or your username/password
3. Navigate to “Renew Policy” or “Renewal”
4. Review your renewal amount
5. Confirm your details (mobile number, Emirates ID)
6. Select payment method
7. Complete payment
8. Download your renewed certificate

Grace Period: You have a 3-month grace period after your policy expires to renew without losing coverage continuity. However, if you don’t renew within this period:

• Your existing subscription will be cancelled
• You’ll need to register for a completely new policy
• This interruption affects your eligibility for future claims (remember, you need 12 consecutive months of subscription to claim)

Important: Always renew on time to maintain uninterrupted coverage and claim eligibility.

How to Claim ILOE Benefits

If you’ve lost your job involuntarily and meet all eligibility criteria, here’s how to claim your benefits:

Step 1: Ensure Eligibility

Before filing, confirm:

• You’ve been subscribed for at least 12 consecutive months
• All premiums are paid
• Your termination was involuntary (not resignation or disciplinary dismissal)
• Your employer has cancelled your work permit
• You’re within the 30-day claim window from termination date

Step 2: Prepare Required Documents

• Employment termination letter from your employer stating the reason and date
• Emirates ID
• ILOE policy certificate or account details
• Bank details (IBAN and account number) for benefit transfer, OR choose cash pickup at Al Ansari Exchange
• Employer undertaking (if there was a labour lawsuit)
• Travel report from GDRFA or Amer center (to prove UAE presence) – can be obtained via Dubai NOW app
• Any other supporting documents requested by MOHRE

Step 3: Submit Your Claim

You can submit claims through multiple channels:

Online (Recommended):

1. Visit www.iloe.ae
2. Click “Submit Your Claim”
3. Log in using OTP, UAE Pass, or your credentials
4. Your dashboard will show your policy details and payment history
5. Click “Claim Submission” from the left menu
6. Confirm your employee name, policy duration, and mobile number
7. Review the termination reason and date
   • If correct, select “Yes” and click “Submit Claim”
   • If incorrect, select “No”, explain in the remarks section, upload supporting documents, and submit
8. Choose your payout method:
   • Bank transfer: Enter IBAN, account number, and account holder name
   • Cash pickup: Select Al Ansari Exchange

Alternative Channels:

• ILOE mobile app
• ILOE call center: 600599555
• Any other channels specified by MOHRE

Step 4: Track Your Claim

After submission, you’ll receive a reference number. Use this to track your claim status:

• Log in to your ILOE account
• Navigate to “My Claims”
• View claim status and updates

Step 5: Receive Compensation

• Processing time: Most claims are reviewed within 14-30 days
• Approved claims: According to MOHRE, approved claims must be paid out within two weeks of submission
• Payout: Benefits (60% of your basic salary, up to the category maximum) will be transferred to your bank account or available for cash pickup

What if your claim is denied? If your claim is rejected, you can:

1. Review the rejection reason
2. Rectify any errors or provide missing documentation
3. Resubmit your claim
4. If still denied and you believe it’s unjustified, escalate to MOHRE regulatory authorities

Important Notes on Claims:

• Compensation stops immediately if you find new employment or leave the UAE
• Your ILOE policy continues and transfers to your new employer if you change jobs within the UAE
• You don’t need to start a new policy when changing jobs – ILOE is linked to your Emirates ID, not your employer

Why ILOE Matters for Expats

For expatriates in the UAE, ILOE provides peace of mind in an environment where employment is directly tied to residency. Here’s why it matters:

Financial Security

Receiving 60% of your salary for up to 3 months gives you time to search for quality job opportunities rather than accepting the first available position out of desperation.

Dignity During Transition

You can maintain your standard of living, continue paying rent, and support your family while navigating a career change.

Legal Compliance

Avoiding fines and potential visa complications by maintaining mandatory insurance coverage.

Stability for Families

For those with dependents, ILOE ensures you can continue supporting your family during unemployment.

Career Flexibility

The safety net allows you to be more selective about job offers and negotiate better terms rather than settling due to financial pressure.

Common Questions About ILOE

Staying Compliant: Tips for Employers and Employees

For Employees:

1. Register within 4 months of starting employment
2. Set renewal reminders to avoid lapses
3. Keep your Emirates ID and mobile number updated in the system
4. Download and save your insurance certificate
5. Pay premiums on time – late payments result in fines and potential policy cancellation
6. Understand your rights – know when you can and cannot claim

For Employers:

1. Educate employees about ILOE and its importance
2. Assist with registration if employees face difficulties
3. Monitor compliance across your workforce
4. Cancel work permits promptly when employees are terminated (required for them to claim benefits)
5. Provide clear termination letters stating the reason and date
6. Stay updated on ILOE regulation changes from MOHRE

Final Thoughts

ILOE insurance represents a significant step forward in the UAE’s commitment to workforce protection and social security. For a minimal monthly cost starting at just AED 5, you gain access to a safety net that could make all the difference during a difficult career transition.

As an expatriate in the UAE, compliance with ILOE isn’t just about avoiding fines. It’s about protecting yourself and your family from the financial shock of unexpected job loss. With over 9 million subscribers already enrolled as of January 2025, ILOE has become a cornerstone of the UAE’s labour framework.

Don’t wait until you need it to understand how it works. Register if you haven’t already, keep your premiums current, and know your rights. In uncertain times, ILOE provides the security you need to focus on what matters most – finding your next opportunity.

Need help or have questions about ILOE?

• ILOE Website: www.iloe.ae
• ILOE Call Center: 600599555
• MOHRE Website: www.mohre.gov.ae
• Emergency Support: Contact MOHRE through their mobile app or website

This information is current as of January 2026. Please verify specific details on the official ILOE website before making decisions, as regulations may change.