Car insurance is mandatory for all vehicles in Dubai. Depending on the type of insurance you purchase, it can cover damage caused by accidents and natural disasters. In Dubai, third party insurance and comprehensive car insurance are quite common; you can opt for any auto insurance policy as per your budget and need.
For more details, read this guide and find the answers to some of the most frequently asked questions about car insurance in Dubai.
Frequently Asked Questions about Car Insurance in Dubai
What is the difference between third party insurance and comprehensive car insurance?
Having third party car insurance is a minimum legal requirement in Dubai. Since third party car insurance offers basic coverage, it is quite an affordable option for vehicle owners. Third-party car insurance only covers the damages caused to the other vehicle by the insured vehicle. However, comprehensive car insurance in Dubai offers coverage to the insured party as well as the claimant.
Is car insurance transferable in Dubai?
If your current insurance policy is valid for less than 9 months, you cannot transfer it to the new owner. If it is valid for more than 9 months, then you need to check with your insurance company whether they provide a transfer option or not. You can also apply for a refund in case they don’t transfer it to a new owner. To share the policy, you need to share all the details of the new owner. The company will then check if the new owner meets the edibility criteria or not.
How to claim car insurance in Dubai?
In case you want to claim for the damage incurred due to an accident or any other unfortunate event, make sure you follow these steps:
- Step 1: Take a photograph of your vehicle, bodily injuries (if any) and other driver’s car (if involved in an accident).
- Step 2: Report the accident to the police and your insurance company. The insurance company will take your vehicle for assessment and give you the reference number to claim the insurance amount. Some insurance companies might need a copy of a driving licence, registration card or Mulkiya.
- Step 3: The workshop will provide you with an estimated cost that needs to be approved by the insurance company.
Also, it is important to have your driving licence with you during an incident. Otherwise, your insurance claim will not be approved.
How much does car insurance cost in Dubai?
Generally, yearly car insurance in Dubai will cost around 1.25% to 3% of the car’s value. Other factors that can influence the cost of car insurance in Dubai are the number of previous insurance claims, age of driver, and how old the driving licence is.
How to buy car insurance in Dubai?
- First of all, before you plan to buy car insurance in Dubai, make sure you analyse your needs and check if the available plan fulfils your need or not.
- Once you decide whether you want to buy third party insurance or comprehensive car insurance, make sure you contact a reputable car insurance company.
- Don’t forget to do a comparison between selected insurance companies before getting a final quote.
- Once you select the company, check what other benefits the insurance company is offering you.
What documents will you need to get car insurance in Dubai?
You will be required to have the following documents:
- A copy of the driving license
- Model, size and manufacturing year of the vehicle
- A copy of previous insurance claims
- A copy of the registration card of the vehicle
- RTA Certificate of Transfer
When to renew car insurance in Dubai?
The car insurance in Dubai expires after the 12 monthly registration period. However, you will be provided with a 30-day grace period to renew the car insurance; meaning, you won’t be charged any fine or penalty during the grace period.
How to renew car insurance in Dubai?
If you are planning to continue with the same company, then you can change it as per that company’s policy. However, if you want to renew your insurance from another company, then you will need the following documents:
- A copy of a driving licence
- A copy of Emirates ID
- Car registration details
- Passport copy
- USE visa copy
You can also get the car insurance renewal in Dubai online just by going to the selected insurance company’s website.
What is the fine of driving without proper car insurance?
Driving a car without insurance can result in AED 500 fine and 4 black points. Besides, your car can also be confiscated for 7 days.
How often is car insurance paid in Dubai?
Car insurance in Dubai is usually paid once or twice a year. However, the car insurance premium payment depends on the company you have selected.
What are the best car insurance companies in Dubai?
Here we have listed down the top ten car insurance companies in Dubai:
- AXA Insurance
- Noor Takaful
- RSA Insurance
- Oman Insurance Company
- Adamjee Insurance
- Salama Takaful Insurance
- Dubai National Insurance & Reinsurance
- Alliance Insurance
- Emirates Insurance Company
- Orient Insurance
Since it is mandatory to have car insurance in Dubai, driving an uninsured car can lead to penalties. However, if you are still looking for a reliable place to buy a used car, consider some of the popular used cars for sale in Dubai from dubizzle. For instance:
- Second-hand Toyota vehicles in Dubai
- Used Nissan cars for sale in Dubai
- Used Mercedes Benz vehicles in Dubai
- Second-hand BMW cars for sale in Dubai
Here we conclude the list of the most frequently asked questions about car insurance in Dubai. We hope that these questions might help you when you plan to buy a car insurance policy in Dubai. Also, make sure you compare different insurance policies before you plan to buy one.
Stay tuned to the UAE’s auto blog for more information on car insurance policies and the country’s car market.
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