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Mandatory insurance fee for expats fixed at KD500

02 February 2022

After five months of discussions, it has been decided that the annual insurance fee for expats over 60 years of age to resume their work permits within the nation has been fixed at KD500 per individual.

Earlier this week, Kuwait said expats over 60 years of age who do not hold college diploma can follow the new guidelines to renew their work permits, and this ended the months-long ban on their employment.

The new system makes it mandatory for expats belonging to this class to pay an annual payment of KD250 per individual and get complete well-being insurance as circumstances for work allow renewal.

As per the specifications by the Higher Committee for Insurance Regulation, the annual well being insurance value has been fixed at KD500 per employee, apart from an administrative fee of 3.5 dinars.

With this document, the holder is eligible for obtaining annual medical providers costing as much as KD10,000, including KD500 for dental care.

Last week, the Public Authority of Manpower (PAM) headed by Justice Minister Jamal Al Jallawi, authorized this new system, thereby ending the disputed ban on employment of expats over 60years of age.

Last October, the Kuwaiti Legal Advice and Legislation Department had nullified the ban saying it had not authorized foundation. It was said that the ban was issued by PAM without authorization.

The ban thereafter triggered an outcry amongst rights activities, who argued that hundreds of expats and their households who were long-term residents of Kuwait were impacted by this rule.

About 4013 such expats have been expelled out of the work market in Kuwait within six months of implementation of this ban, it was reported. Further, critics had stated that the restriction harmed several employers and destabilized the labour market in Kuwait, robbing it of skilled employees.
 

Robin Vinod

Writer/blogger who writes on topics such as travel, real estate, employment and everyday life on GCC countries.

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