Egypt: Egypt's Comprehensive Health Insurance Law

Last Updated: 2 July 2019
Article by Riad & Riad Law Firm

On 27 December 2017, the Egyptian Parliament has taken a crucial and valiant step towards the reform of Egypt's health insurance system by approving the new Comprehensive Health Insurance Law no. 2 of 2018 (the "Law"). The Law comes to extend the health insurance system to all citizens and improve the health services.

The Law was published in the Official Gazette on 11 January 2018 and entered into force on 12 July 2018, i.e., after six months from its date of publication. The executive regulation of the Law was issued on 8 May 2018, by virtue of the Prime Ministerial Decree no. 909 of 2018 and entered into force on the effective date of the Law.


The new Law covers all citizens, whether they are public or private employees, seasonal or permanent workers, men or women, child or adults. It also covers workers' spouses, parents and children as well as work injuries. It applies mandatorily on all citizens existing in Egypt and optionally on Egyptians working or living abroad. It can be also extended to foreigners who are earning their income or living in Egypt subject to reciprocity.

Government shall guarantee free healthcare services to people who are unable to pay the contribution fees according to the rules to be determined by the Prime Minister1.


The application of the new Law will be on a gradual basis on Egypt's 27 governorates. Application of the new Law is divided into six phases as following:

1st phase covers 5 governorates: Port Said, Suez, Ismailia, North Sinai and South Sinai.

2nd phase covers 5 governorates: Luxor, Marsa Matrouh, Red sea, Qena and Aswan.

3rd phase covers 5 governorates: Alexandria, Al-Bihira, Damietta, Suhag and Kafr el-Sheikh.

4th phase covers 5 governorates: Beni-Suif, Assiout, Minya, Wadi-Algadeed and Fayoum.

5th phase covers 4 governorates: Al-Dakhleya, Al-Sharqiya, Al-Gharbia and Al-Monofya.

6th phase covers 3 governorates: Cairo, Giza and Qaliobia.

The full application of the Law on all Egypt's governorates shall be achieved within maximum 15 years from the effective date of the Law. During such period, the Government is required to improve its healthcare facilities in order to raise their efficiency and quality.


The new comprehensive health insurance system is based on diversified source of funding as summarized below:

1. Contributions Fees


Employees who are subject to the current Social Insurance Law no. 79 of 1975 ("SIL") shall pay a contribution of 1% from their salaries. If the employee or the insured person is working with more than one employer, he shall pay the contribution for each income separately.


Employers who are subject to the SIL are required to deduct and pay 4% of their employees' subscription salaries to the Social Insurance Authority, on a monthly basis, with a minimum contribution of EGP 50. This contribution will cover the employee's sickness, treatment and work injuries.

Other Insured Persons

All persons insured under Law no. 108 of 1976 (relating to the business owners and other beneficiaries) and the Egyptians who are working abroad as well as members of profession syndicates such as lawyers, engineers and doctors shall pay contribution fees amounting to 5% of their insured salary, the salary mentioned in the tax return or the maximum limit of their insured salary whichever is greater.
The abovementioned will also pay a contribution of 3% for their unemployed spouse or those who do not have a stable income and 1% for each child or dependent. Moreover, retired persons, widows and persons entitled to retirement pensions will pay 2% of their monthly pensions as a contribution to the health insurance system.

2. Solidarity Contribution

All companies, ‎sole proprietorship and public economic authorities are required to pay 2.50 of their gross annual revenues to the Tax Authority as a "solidarity contribution" to be used in funding the new health insurance system. Such contribution amount will not be deducted from taxes.

This contribution is applicable immediately and is not subject to the general gradual application of the Law.

This solidarity contribution is strongly criticized for being calculated based on the gross revenues instead of the net income and also it will not be considered as deductible costs from taxes. Against these criticisms, it is expected that the Government will submit a proposed amendment to the Parliament regarding this contribution to placate investors and the other stakeholders.

3. Other Source of Funding

Other amounts will be deducted from other sources as following:

  1. 75 piasters from the value of each cartoon of cigarettes sold in the domestic market whether it is imported or locally produced.
  2. 10% of the value of each sold tobacco derivatives other than cigarettes.
  3. 1 EGP to be collected from each vehicle passing high ways that are subject to collection of fees.
  4. 20 EGP to be paid for each year when extracting or renewing a driving license.
  5. 50 EGP to be paid for each year when extracting or renewing a car license with capacity less than 1.6 liters.
  6. 150 EGP to be paid for each year when extracting or renewing a car license with capacity 1.6 liters or less than 2 liters.
  7. 300 EGP to be paid for each year when extracting or renewing a car license with capacity 2 liters or more.
  8. An amount ranging from EGP 1000 to 15000 to be paid by medical centers, clinics, pharmacies, and pharmaceutical companies when joining the health insurance system.

  9. EGP 1000 for each bed in hospitals and medical centers when extracting their licenses.

The abovementioned amounts will be collected by the competent authorities, such as the Ministry of Health, the Ministry of Interior and the Ministry of Transport, and shall be transmitted to the General Authority for Comprehensive Health Insurance.


The Law stipulates that an additional annual amount will be imposed on individuals/companies who are late in making their payment obligations under the Law.

A penalty of no less than six month imprisonment and/or a fine between EGP 2,000 and EGP 10,000 shall apply for anyone who gives incorrect statements or refraining from providing the required information, if such violation led to illegally obtain money from the General Authority.

Moreover, a penalty of no less than six month imprisonment and a fine between EGP 100,000 and EGP 200,000 will be imposed on any employee of any of the authorities who shall assist participants in not paying their financial obligations under the Law.


1. Article 2 of the Law.

Originally published May 05, 2019

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
Related Articles
Up-coming Events Search
Font Size:
Mondaq on Twitter
Mondaq Free Registration
Gain access to Mondaq global archive of over 375,000 articles covering 200 countries with a personalised News Alert and automatic login on this device.
Mondaq News Alert (some suggested topics and region)
Select Topics
Registration (please scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions