Bahrain

His Majesty King Hamad bin Isa Al Khalifa has issued Decree-Law No. 44 of 2026 amending certain provisions of Bahrain’s Social Insurance Law, originally enacted under Decree-Law No. 24 of 1976. The legislation introduces changes to the basis used for calculating insurance contributions and establishes options for specified categories of Bahraini workers. The decree was issued following a proposal from the Prime Minister and approval by the Cabinet, according to the text published on Saturday, October 10, 2026.

Article One adds a new Article 19 bis to the Social Insurance Law. Under the amendment, contributions across the relevant insurance branches for individuals covered by old-age, disability and death insurance arising from non-occupational causes are to be calculated using a minimum wage basis determined by a Cabinet decision. The stated objective is to maintain a reasonable relationship between the total contributions paid and the insurance benefits and entitlements available under the system.

An important distinction is that the published decree does not itself specify a monetary amount for the minimum wage used in these calculations. Instead, it provides for that amount to be established through a separate Cabinet decision. Any claims about a particular new salary threshold or contribution figure should therefore be checked against the relevant implementing decisions rather than attributed directly to the decree without supporting documentation.

Article Two defines the scope of the new calculation provision. It applies to insured individuals who first satisfy the conditions for registration under Bahrain’s Social Insurance Law after the new legislation takes effect. The wording is significant because it does not state that every existing insured worker must have their contributions recalculated under the newly introduced basis. The distinction between new registrations and existing insurance arrangements is essential when assessing the practical impact of the amendment.

Article Three addresses Bahraini nationals working outside the Kingdom, as well as Bahrainis employed inside the country by employers who are not subject to the specified Social Insurance Law. Subject to the conditions established in the legislation, these workers may request one of two insurance arrangements. The provision excludes individuals who were already benefiting from Law No. 31 of 2005 on social insurance for Bahrainis working abroad and equivalent categories before the new decree entered into force.

The first option allows eligible workers to seek coverage under the existing legislation for Bahrainis working abroad, using the prescribed minimum wage as the basis for calculating contributions. The second option permits them to apply for participation in a separate insurance scheme to be regulated by a Cabinet decision. While the decree establishes these alternatives, it does not provide all the operational details of the special scheme, which will depend on the relevant regulatory decision.

Under Article Four, the decree-law takes effect on the day following its publication in Bahrain’s Official Gazette, with the competent authorities responsible for implementing its provisions. The official publication date, rather than the date on which news reports circulated, determines its legal commencement. Bahraini workers potentially affected by the changes, particularly those employed abroad, should follow announcements from the Social Insurance Organization and other competent authorities for confirmed contribution arrangements, eligibility requirements and application procedures.