For many Saudi sponsors, acquiring health insurance is a procedure that they only complete to process their workers’ paperwork such as renewing or issuing iqamas. The sponsors blame insurance companies for giving them incorrect information with an eye on maximizing their own financial benefits, and say they do not fulfill the provisions of signed contracts.
Due to an overwhelming number of the Kingdom's seven million expatriate workers being domestic staff, the problem is widespread.
Dr. Hamad Al-Manie, the then minister of health, announced in 2008 a mechanism in which domestic workers such as maids and drivers would be required to have health insurance.
“The ministry carried out studies and came up with two proposals to implement the mechanism. One is that the ministry would provide health insurance coverage to each worker for a premium of SR500 and then he or she would be entitled to receive medical care at all government hospitals and health clinics in the Kingdom. The second proposal involves a direct payment of SR1,200 by the worker to an insurance company, which would bear the whole treatment cost at both government and private hospitals," said Al-Manie.
Abdullah Al-Bashar, a Saudi citizen, expressed his surprise at the negligence of the private sector in implementing the system. “Bringing domestic workers under health insurance coverage would be a big boost to the private sector, and thus open avenues to make more investments in this vital health sector,” he said.
Al-Bashar said some private companies and establishments are playing games with the insurance system. “They are paying insurance premiums not to meet the cost of treatment but for completing procedures such as the issuing and renewing of iqamas," he said, adding that this is simply leaving members of the public in a lurch.
He further underlined the need to make people fully aware of the salient features of the health insurance scheme, and to take punitive measures against those insurance companies that violate contract provisions.
Muhammad Al-Mehna, another Saudi citizen, said people are now between a hammer and an anvil and that many view health insurance as an extra financial burden. “Ignorance on the part of both sponsors and workers of the provisions of the health insurance scheme is a blessing in disguise for insurance companies. Both insurance companies and private hospitals are vigilant not to provide specific information about the health coverage that comes under the scheme,” he said.
“Subsequently, both citizens and their workers remain totally unaware about the health care that they are entitled to under the scheme. They are therefore forced to consider health insurance premiums as an additional fee that they need to pay to issue and renew iqamas,” he said.
Al-Mehna urged the authorities to stringently monitor insurance companies and concerned hospitals, and take punitive action against those who fail to fulfill their obligations.
Adel Abu Nama, an official at a private recruitment office, underlined the need to strictly implement health insurance regulations and take action against errant companies and hospitals.