UAE Job Loss Insurance (ILOE): Cost, Payout and How to Claim
The UAE's Involuntary Loss of Employment scheme costs AED 5 or 10 a month and pays 60% of basic salary for up to 3 months after a job loss. Here is who qualifies and how to claim.
UAEIn brief
- ILOE job-loss insurance is mandatory for UAE private-sector and federal government employees.
- It costs AED 5 a month for basic salaries up to AED 16,000, and AED 10 a month above that.
- It pays 60% of your average basic salary for up to 3 months, capped at AED 10,000 or AED 20,000 a month.
- You must be subscribed for 12 months, must not have resigned, and must claim within 30 days.
| Country | UAE |
|---|---|
| Organization | Involuntary Loss of Employment (ILOE) scheme / MoHRE |
| Official source | ILOE official website – FAQs ✓ iloe.ae |
The UAE's Involuntary Loss of Employment (ILOE) scheme gives workers a temporary income if they lose their job through no fault of their own. Subscription is mandatory for private-sector and federal government employees, so it is worth knowing how it works.
How much it costs and pays
| Category | Basic salary | Premium | Maximum monthly payout |
|---|---|---|---|
| 1 | Up to AED 16,000 | AED 5 a month (AED 60 a year) | AED 10,000 |
| 2 | Above AED 16,000 | AED 10 a month (AED 120 a year) | AED 20,000 |
- The payout is 60% of your average basic salary over the 6 months before you lost your job, up to the cap.
- It is paid for up to 3 months per claim.
- You can pay premiums monthly, quarterly, every 6 months or yearly.
Who can claim
You can claim if all of these are true:
- You have been subscribed for at least 12 months in a row, with no gap of more than 3 months.
- You have paid your premiums on time.
- You did not resign, and you were not dismissed for disciplinary reasons.
- There is no absconding case against you.
- You are legally in the UAE when you claim.
- You claim within 30 days of losing your job, or of a labour court case being settled.
How to subscribe
Use the ILOE website (iloe.ae) or app, or pay through bank apps, exchange houses, kiosks, business service centres, or SMS and telecom bills.
How to claim
- Make sure your job loss is recorded and that your status is clear with MoHRE.
- Submit the claim on the ILOE website or app, or through the call centre (600 599 555), within 30 days.
- Keep your termination letter and any documents your employer gave you.
Don't let your policy lapse
If premiums are more than 3 months overdue, the policy is cancelled and a fine applies under the law. You would then need to take out a new policy, and your 12-month waiting period would start again.
Set up automatic yearly payment so you never miss a premium. At AED 60 a year for most workers, it is one of the cheapest safety nets available.
Frequently asked questions
How much does ILOE insurance cost in the UAE?
AED 5 a month (AED 60 a year) if your basic salary is up to AED 16,000, and AED 10 a month (AED 120 a year) if it is higher.
How much does ILOE pay?
60% of your average basic salary over the last 6 months, for up to 3 months per claim, capped at AED 10,000 a month (category 1) or AED 20,000 (category 2).
Can I claim ILOE if I resign?
No. ILOE does not pay if you resigned or were dismissed for disciplinary reasons.
What happens if I don't pay ILOE premiums?
If premiums are more than 3 months overdue, the policy is cancelled and a fine applies. A new policy restarts the 12-month waiting period.
Apply only through the official source.
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