Saudi Arabia Rolls Out Exciting New Insurance Scheme To Protect Expat Workers

Hera Shabbir

The Ministry of Human Resources and Social Development, along with the Insurance Authority, has launched a new insurance program called the “Insurance Product” to protect the rights of expatriate workers.

Starting Sunday, October 6, this scheme aims to reduce the financial burden on workers when their employers are unable to pay wages for a certain period

The Insurance Product will cover the unpaid wages of expatriates working in private sector companies if their employers fail to make payments. Provided through insurance companies in the Kingdom, this plan ensures workers receive their dues according to the terms outlined in the insurance policy.

The benefits of the scheme include, for example, a travel ticket for workers wishing to return to their home countries on a final exit visa

This initiative is part of broader efforts to improve the labor market by developing policies that safeguard the rights of both workers and employers, while enhancing the market’s appeal and efficiency locally and internationally. The Insurance Product aligns with other measures like the Wage Protection Law and contract documentation, designed to preserve contractual rights. The ministry has also published a guide explaining the insurance procedures, which can be accessed through their website.

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