RAKEZ insurance requirements

Who runs RAKEZ?

What insurance and guarantees do companies in RAKEZ need?

Workmen's compensation

• If you employ staff in RAKEZ, you must provide them with workmen's compensation insurance covering every employment injury, disability and related medical expenses, in line with the Labour Law (Federal Decree Law 33 of 2021), and RAKEZ may require a copy of the policy.¹
• Before you start building works in RAKEZ, you must take out workmen's compensation insurance covering legal liability for personal injury, disease, illness and death of the staff of a contractor and its subcontractors performing the works, resulting from or in connection with the works, with a limit of at least the amount RAKEZ sets for any one occurrence during the three years after the Operation Fitness Certificate for the works is issued.¹

Contractors' all risks

• Before you start building works in RAKEZ, you must insure the works, and the plant, materials and equipment used for them, for at least the full reinstatement cost of the works and the full replacement value of the plant, materials and equipment, plus an extra 10% of that insured amount, until the Operation Fitness Certificate for the works is issued.¹

Third party liability

• Before you start building works in RAKEZ, you must take out public and third party liability insurance with a limit of at least the amount RAKEZ sets, for any occurrence during the three years after the Operation Fitness Certificate for the works is issued.¹

Contents

• Once the Operation Fitness Certificate is issued, you must take out and maintain content insurance, at full replacement value, against destruction, loss or damage to your plant, equipment and machinery at the leased premises for the whole term of your lease, leasehold, sub-lease or musataha agreement.¹

Visa deposit

• For each employee RAKEZ sponsors for you who is not a Gulf Cooperation Council national, you must give RAKEZ either a refundable visa security deposit of AED 2,000, which RAKEZ may increase, or an insurance policy, as RAKEZ decides from time to time, and RAKEZ may waive this for up to five employees in owner, partner, director, general manager or manager grades.¹

Employee protection scheme

• RAKEZ's Workers Protection Insurance Programme page says Workers Protection Insurance is a mandatory part of the visa application process, for new visas and renewals, for all employees of RAKEZ-registered companies, replaces the AED 2,000 visa deposit, is provided with partner RAKINSURANCE, and has cost and cover linked to salary band and visa duration.²

Other

• When you apply to renew your RAKEZ licence, you must include copies of the valid insurance policies you are required to hold.¹
• If you breach the RAKEZ building insurance rule, you receive a warning letter with a deadline of up to 90 days, then a penalty of AED 20,000 if within 30 days of that first deadline, then suspension of services if within 30 days of the second deadline.⁶

Property all risks

• RAKEZ's health, safety and environment regulations require stakeholders operating in RAKEZ areas to have their land and premises insured against fire, explosion and peril.⁴
• RAKEZ's health, safety and environment construction regulation says the parties involved in construction are expected to insure their land and buildings against fire, explosion and risk.⁵

Do you need health insurance for your staff in RAKEZ?

• When RAKEZ processes or renews a residence permit or visa for an employee it sponsors for you, you pay the cost of processing it, the entry permit, the medical fitness certificate, health insurance and the Emirates Identity Card.¹

The rule for employers across Ras Al Khaimah is on the Ras Al Khaimah page.