Can Car Insurance Be Transferred in Dubai?
Car insurance is obligatory in Dubai and all other Emirates. Every car owner (new and old) should have a proper car insurance that is under validity. When selling or purchasing second-hand cars, you have to cater to the insurance requirement as a buyer or seller. To make the process convenient, the government permitted fully transferable car insurance from one owner to another. However, the transfer is subject to your insurance provider and contract, it is not necessary that every insurance should be transferred from previous to new owner.
In this guide, we will provide you with complete information about the process, conditions and documentation required for car insurance transfer in Dubai.
How to Transfer Insurance of A Car
UAE insurance authorities provide complete guidelines on transferring insurance when selling your old vehicle. However, it is not the sole responsibility of the car seller, buyers are also liable to ask about the insurance transfer. IN case, both the parties agree to stick on the older insurance transfer and new owner is not willing to buy new onw.
See the following process of car insurance transfer in Dubai.
Documents Required
There are not many documents required for the transfer of car insurance in Dubai. We have enlisted all the legal documents you must-have for the insurance transfer.
- No Objection Certificate (NOC) from the previous owner
- Document/Certificate of existing insurance policy
- Registration certificate
- Application form (filled)
- Car inspection report
- Emirates ID/Passport
- Buyer’s driving license
After sorting the above-mentioned documents, buyer and seller have to settle premium charges, transfer fee (to be paid by buyer) and insurance discount claims.
Procedure
The insurance transfer policies and procedures depend on the insurance company and the time of initiation. The previous car owner can initiate it or request their insurance agent to do it for the person buying a used car. It only requires a set of documents mentioned above for the transfer of car insurance in Dubai. You have to visit the insurance company office with the other party to settle down all the issues. The agent will settle issues and transfer the insurance on the same day. However, ensure that you have already informed your insurance company about selling the vehicle.
According to the policies, if you are selling your vehicle without informing the insurance companies, they have all the right to cancel your insurance. In this case, it would not be possible for the owner to transfer insurance to the new owner.
What About No Claim Bonus
No claim bonuses are provided by the insurance companies to the car owners who have never claimed any insurance within a certain time period. These are the additional benefits and leverage provided by the company to retain its clients. No Claim bonuses are not transferable from one person to another or from the previous owner to the new owner.
However, you can transfer it completely if you are buying new vehicle. Before buying a new car, inform the insurance company and ask them all the questions related to car insurance in Dubai for avoiding any sort of conflict.
This was all about car insurance transfer in Dubai. It is the essential step in buying or selling your vehicle to another person. Otherwise, you can face legalities and fines imposed by transportation authorities. Therefore, if you are planning to buy used cars for sale in Dubai, ensure that insurance is completely transferred.
Stay tuned to UAE’s top auto blog for more information on car insurance.