Dubai: In order to own a car here and get it registered in your name, you should first get the car insured.
According to traffic laws in the UAE, vehicles whether old or new should be covered for 13 months before getting it registered with the traffic authority.
Be sure to read the conditions set by the insurance company carefully before signing the agreement in order to avoid any problems later on.
Most insurance companies here will provide insurance cover for the car for the geographical area of the UAE and will cover vehicles which are registered in the UAE.
Claim
If you wish to claim insurance in case of an accident and avoid any liability with the insurance company, you should not use the vehicle except for the purpose for which it is licensed.
You should first have a valid driving licence.
If you allow another person to drive your car, that person should also have a valid UAE driving licence to do so.
Higher charges
If your driving licence is new, the premium will be higher.
Most insurance companies will also refuse to provide cover for a motorist below 25 years of age or hike the insurance premium; they will quote statistics to show that most accidents are caused by drivers in this age group.
Some insurance companies will not insure vehicles of motorists over 70 years of age.
If your track record is good the insurance company may offer you a discount.
Some of the things that affect the cost of insurance include, the year of manufacture and the model of the car, the estimated price of the vehicle in the market.
Sports cars and expensive, luxury car owners will have to pay higher premium for the cover.
Comprehensive insurance will cover vehicles that are up to seven years old.
This cover is also available only for vehicles whose value does not exceed Dh250,000.
There are many insurance companies in the UAE and you are free to choose the one you want.
Liability: Additional costs
- Driver and passenger cover will cost an additional fee.
- Before renting a car make sure it has full insurance.
- If you are visiting the UAE and wish to rent a car, check out the insurance policy and whether there are any restrictions or limitations.
- Do not drink and drive. If you cause an accident, your insurance company will not pay for the damages.
- There are basically two types of covers: Comprehensive and Third Party Liability.
- You have a choice to get additional coverage by paying additional fees, for adding family members, spouse, children and parents.
- Comprehensive insurance covers loss or damage of the vehicle by accidental collision, by fire, external explosion, lightning, burglary, theft, natural disasters and malevolent acts.
- Third party liability insurance provides compensation in accordance with the UAE motor vehicle licensing regulations.
- To re-insure your vehicle you need your passport copy, driving licence copy and car registration copy.
