WPP Insurance UAE - Workers Protection Program Cost, Coverage & Claims (2026)

What Is WPP Insurance (Workers Protection Program)?

WPP Insurance (Workers Protection Program Insurance) is a labor protection scheme launched in October 2018 following a UAE Cabinet decision. Designed as a low-cost insurance alternative to the traditional AED 3,000 bank guarantee per worker, it protects registered employees against financial loss if an employer fails to meet its contractual obligations.

For companies, it’s mandatory to get this insurance or have the AED 3,000 guarantee in place.

Administered through a pool of licensed UAE insurers (the Insurance Pool, often accessed via portals such as DINWPP / Dubai Insurance), WPP pools small premiums paid by employers to fund claims when a company defaults.

Key Highlights

• Mandatory Application: The coverage applies to private sector employers hiring staff under MOHRE labor contracts.
• Coverage Limit: When an employer chooses the insurance option, the policy can provide up to AED 20,000 per worker for covered labour entitlements if the employer is unable to pay.
• Employer-Funded: Premiums are paid entirely by the employer. No deductions can be made from employee salaries.

Why Was Work Protection Insurance Introduced? WPP vs Bank Guarantee

Before 2018, employers had to deposit a fixed bank guarantee of AED 3,000 with MOHRE for every work permit issued. For a company hiring 100 workers, this meant AED 300,000 in working capital was locked up in a bank account.

The introduction of WPP insurance fundamentally altered this dynamic:

What Does WPP Insurance Payment Cover?

If an employer experiences severe financial distress, insolvency, or illegal default, WPP insurance UAE steps in to compensate eligible claims up to the AED 20,000 policy ceiling per employee.

These can include:

Important Note: WPP is not health insurance. It does not cover routine medical treatment, doctor visits, or elective hospitalisation. Health insurance remains a separate mandatory requirement under Dubai, Abu Dhabi, and national healthcare regulations.

How Much Does WPP Insurance Cost in the UAE?

The premium depends on the worker category and the applicable insurance product. The UAE Insurance Pool’s published rates include:

The Insurance Pool currently displays the same categories and premiums. The above-mentioned amounts are VAT-inclusive.

Important: Confirm the exact premium applicable to an establishment through the current WPP Insurance Pool process. This is because worker classification and applicable product conditions matter.

Who Needs WPP Dubai Insurance?

The work protection insurance scheme is designed for private-sector employees and domestic workers under the relevant MOHRE framework.

For establishments, the current rules provide a choice between the insurance policy and the required bank guarantee.

This means an employer should not assume that buying WPP insurance is the only compliance route. The business should first establish which requirement applies to its workforce and jurisdiction.

Who Pays for WPP Insurance in Dubai?

The employer pays for WPP insurance. An employee does not purchase a WPP policy for themselves.

The purpose of the scheme is to protect eligible worker entitlements if the employer cannot meet its financial obligations.

This is different from ILOE, where the employee subscribes to unemployment insurance and pays the applicable premium.

WPP vs WPS vs ILOE: What’s the Difference?

These three terms are frequently confused because they all relate to employment and salary protection.

How to Buy WPP Insurance from the WPP Insurance Pool?

For employers choosing the insurance route, WPP insurance is available through the WPP Insurance Pool.

The general process is:

1. Access MOHRE: Log into the official MOHRE Portal or access the dedicated Insurance Pool (DINWPP) gateway.
2. Select Establishment: Choose your registered business entity / trade license.
3. Confirm Workforce: Select the relevant list of employees requiring work permit issuance or renewal.
4. Calculate Premium: The system automatically calculates the WPP policy premium based on worker risk profiles and headcount.
5. Complete Online Payment: Pay using electronic corporate payment channels (credit card / direct banking).
6. Download Certificates: Once paid, download the official WPP Insurance Certificate for your records and MOHRE visa processing.

How Can Employees Claim WPP Insurance?

Employees can’t directly purchase or submit an insurance claim for WPP on their own directly with an insurer. Claims are activated solely as part of an official labor dispute resolution process through MOHRE.

1. Gather Evidence: Collect your Emirates ID, passport, contract, and bank statements. Your WPS transfer history serves as primary proof showing when salary payments ceased.
2. File a Labor Complaint: Submit an official dispute through the MOHRE Mobile App, mohre.gov.ae, or by calling 800 84.
3. MOHRE Mediation: MOHRE attempts an amicable settlement with the company.
4. Court Referral & WPP Trigger: If the employer fails to respond or pay due to insolvency, MOHRE or the Labor Court formally confirms the default. The Insurance Pool then settles unpaid dues directly to the worker up to the AED 20,000 limit.

Crucial Warning for Employees: Never sign a “No Dues”, “Full and Final Settlement”, or cancellation document until money owed has actually reached your bank account. Signing prematurely can forfeit your right to both a labor claim and a WPP payout.

Frequently Asked Questions