Shahd Alhamdan

Saudi Gazette

 

JEDDAH — As Saudis have become more aware of its importance, health insurance has become a must rather than a trend in the Kingdom.



However, most of the time when an insurance company signs a contract, the customer is an employer. The Labor Law has made it compulsory for employers to provide health insurance coverage for their expatriate employees.

The profits of the insurance company are made from the money saved if customers do not utilize their insurance.



“The customer will surely benefit since the insurance company is responsible for all costs. The insurance company gains its profit and cover its costs from premiums paid by customers who do not use the service because of their good health,” said Wed Marwa, a previous customer service employee with an insurance company.



Citizens use insurance, especially health insurance, because they do not always have enough money to pay for certain services.



“Using insurance is not a trend, most of the time it’s a need and sometimes it is binding. It benefits the users since they will not spend a lot of money on the services that are covered by the insurance,” said Shereen Khatab, another former employee at an insurance company.



Rising awareness was one of the causes of improved insurance services. “Insurance is a must, of course. It’s never a trend because people are getting well educated here so they are now aware that they have to get health insurance because it’s a smart choice and it will save you a lot of money,” said Dalya Mousa, an insurance customer.



The main advantage for customers is that they are able to pay a relatively small amount of money to get the services they need, especially healthcare.



“I have MedGulf health insurance, so when I go to hospitals, I pay like 5 percent of the charges only. To be honest, it’s very good. I don’t think there is a disadvantage,” said Mousa.



However, many people think they do not need insurance even if they are aware of its importance.



“I do have medical insurance, yet thank God I have never used it, but for sure it’s beneficial. For example, if the doctor's fee is SR200, I will just pay SR20. It’s not a must, yet I think people are becoming aware of the importance of having medical insurance,” said Reema Kandel, a customer.