Did you know that driving without car insurance in Dubai can lead to a penalty of AED 500 and four black points? But before you buy car insurance in the UAE, you need a car insurance checklist. Whether you’re a new driver, an expat, a long-term resident, or a tourist in Dubai, understanding how to buy car insurance is essential if you want to drive in UAE, so don’t miss this car insurance buying guide.
In this car insurance buying guide from Lookinsure mag, we’ll provide checklist for car insurance that includes everything you need to know about how to get car insurance for UAE vehicles and non-UAE vehicles in Dubai. From the first steps, when to buy, and to the best places to purchase your policy, we’ve got you covered.
10-Step Car Insurance Checklist for New Cars
If you want to get a simplified version of how to buy car insurance in UAE for new cars, this 10-step car insurance checklist contains all the essentials:
Choose Policy Type: Comprehensive over Third-Party
- Mandatory: Third-party (covers others)
- Recommended: Comprehensive (includes fire, theft, self-damage)
Verify GCC validity + buy third-party at borders
- UAE policy ≠ legal in GCC countries
- Budget ~AED 90 for 5-day third-party at borders
Negotiate deductible based on car value
- Higher excess = lower premiums
- E.g., AED 200 (Nissan Sunny) vs. AED 300 (Honda Accord)
Opt for manufacturer workshops
- Post-5 years, premiums rise
- Confirm if your insurer partners with dealerships (e.g., Al Futtaim)
No-Claim Bonus (NCB) and Leverage up to 40% discount
- Submit foreign NCB certificates (for expats)
- Renew early to retain discounts
Add off-road cover for 4WDs (excludes dunes)
- Limited to 4WDs (Land Cruiser/Prado)
- AED 1,500 excess
- Confirm exclusions clearly
Check eligibility rules
- Insurers may reject cars >10 years old
- Drivers under 25 pay higher premiums
Leverage Add-Ons
Prioritize roadside assistance + personal accident cover
- Roadside: GCC-wide towing/fuel
- Accident cover: AED 200k (driver) + AED 15/passenger
Check Claims Process
- Confirm 24/7 support + Documentation Requirements
- Save insurer’s emergency number
- Photos/police reports required for claims
Compare Digitally
- Use platforms like Lookinsure
- Avoid kiosks!
- Compare quotes, read reviews, and buy paperless policies in minutes.
In-Depth Car Insurance Checklist for Used Cars
We have prepared the best checklist for car insurance for used cars to cover the basic pros and cons of the available methods. Of course, who wouldn’t like to know how to get cheap car insurance.
1. Choose the Right Policy Type
- Comprehensive vs. Third-Party
- Mandatory Coverage: Third-party (covers damages to others).
- Recommended Coverage: Comprehensive (covers fire, theft, and self-damage).
2. GCC & Border Coverage
- Verify GCC Validity: Ensure your UAE policy is valid in GCC countries.
- Purchase Third-Party Insurance at Borders: Budget around AED 90 for a 5-day third-party coverage.
- Negotiate Compulsory Excess
3. Determine Deductible Based on Car Value:
- Higher excess leads to lower premiums (e.g., AED 200 for a Nissan Sunny vs. AED 300 for a Honda Accord).
4. Opt for Agency Repairs
- Workshop Selection: Choose manufacturer workshops if the car is less than 5 years old.
- Post-5 Years: Be aware that premiums may rise; check insurer partnerships with dealerships (like Al Futtaim).
5. Utilize No-Claim Bonus (NCB)
- Discount Opportunities: Leverage up to 40% discount.
- Foreign NCB Certificates: Submit if you are an expat.
- Early Renewal: Renew your policy early to keep discounts.
6. Add Off-Road Coverage
- For 4WD Vehicles: Consider adding off-road cover (note: this typically excludes dune driving).
- Excess Information: Be aware of an AED 1,500 excess; confirm any exclusions clearly.
7. Check Driver & Vehicle Age Eligibility
- Eligibility Rules: Insurers may not cover cars older than 10 years.
- Young Driver Penalties: Drivers under 25 often incur higher premium costs.
8. Consider Optional Add-Ons
- Recommended Add-Ons: Get roadside assistance and personal accident coverage.
- Roadside Assistance: Includes GCC-wide towing and fuel delivery.
- Accident Coverage: Typically AED 200k for drivers and AED 15k per passenger.
9. Understand the Claims Process
- 24/7 Support Confirmation: Ensure that your insurance provider offers 24/7 support.
- Documentation Requirements: Save the insurer’s emergency number; gather necessary documents including photos and police reports for claims.
10. Compare Insurance Options Digitally
- Utilize Online Platforms: Use platforms like Lookinsure to compare options.
- Avoid Physical Kiosks: Compare quotes, read reviews, and purchase policies electronically in just a few minutes.
Checklist for Car Insurance Add-ons
When purchasing car insurance, selecting the right coverage is essential, but it’s equally important to consider various add-ons that can enhance your policy and provide additional protection. These add-ons can help safeguard you from unexpected situations and ensure a smoother driving experience. This checklist outlines key car insurance add-ons to consider, helping you make informed decisions that best suit your needs and driving habits.
1. Roadside Assistance
- Services Included: Towing, fuel delivery, tire changes, and lockout services.
- GCC-Wide Coverage: Ensure it covers you in all GCC countries.
2. Personal Accident Cover
- Driver Coverage: Coverage amount (e.g., AED 200k for the driver).
- Passenger Coverage: Amount provided per passenger (e.g., AED 15k).
3. Off-Road Coverage
- Compatibility with 4WD Vehicles: Ensure it covers off-road activities (check for specific exclusions).
- Exclusions: Clarify any areas excluded (like dune driving).
4. Zero Depreciation Cover
- Benefits: Ensures you receive the full value of your car’s parts without deducting depreciation in case of a claim.
- Eligibility: Check if there are restrictions based on car age or condition.
5. Engine and Gearbox Protection
- Coverage for Damage: Protection against water ingress and engine failure.
- Terms: Review what is covered and any limits on claims.
6. Rental Car Reimbursement
- Coverage During Repairs: Reimbursement for the cost of renting a vehicle while yours is under repair.
- Check Limits: Ensure you understand daily limits and total coverage duration.
7. No-Claim Bonus Protection
- Maintain Your Bonus: Allows you to make a claim without losing your no-claim discount.
- Conditions: Verify how many claims are allowed and the impact on the bonus.
8. Coverage for Accessories
- Added Value: Coverage for personal accessories or upgrades (like sound systems or custom rims).
- Limits and Conditions: Confirm coverage limits for accessories as they may differ from the vehicle’s total value.
9. Key Replacement Cover
- In Case of Theft: Coverage for replacing stolen or lost car keys.
- Conditions: Check if there’s a limit on the amount covered.
10. Legal Assistance Cover
- Support for Legal Issues: Coverage for legal fees in case of an accident where you are held liable.
- Clarity on Terms: Ensure you understand what legal situations are covered.
Conclusion
Our checklist for car insurance distills years of industry insights into actionable steps, ensuring you avoid common pitfalls like undervalued coverage, overlooked add-ons, or non-compliance with UAE regulations. Whether you’re a new driver or a seasoned expat, prioritizing thorough research, comparing quotes, and understanding policy terms will empower you to secure optimal protection tailored to your needs. The UAE’s competitive insurance market offers endless options, but with this roadmap, you’re equipped to make informed, cost-effective choices.
Frequently Answered Questions
1: Do you need a driving license to purchase car insurance in the UAE?
Yes, per UAE laws, you must provide a valid driving license, residential visa, and passport to purchase car insurance in the country.
2: What documents are required to buy insurance for a used car in Dubai?
To insure a used car in Dubai, you should have a valid Emirates ID, driver’s license, Mulkiya (vehicle registration card), and the documents regarding the previous insurance coverage.
3: Is it safe to purchase car insurance online?
It is quite safe to buy online car insurance from trusted sources. Make sure to check the provider is regulated by the Government of Dubai and the Central Bank of the UAE.
4: How can I check a car insurance policy online?
You can check the details on the Lookinsure website. Once you input your details and register, the system automatically checks for insurance history online.
5: As a tourist, what documents do I need for buying car insurance?
When purchasing car insurance policies in the UAE, you need a UAE ID as a UAE national, a passport and residence visa as a foreign traveler, a valid UAE driver’s license (or valid international one), the Vehicle Registration Certificate (Mulkiya), your bank statements, and confirmation letter for GCC-specified cars.
6: Is Insuring Electric Cars Different from Regular Cars?
Third-party liability insurance is mandatory for electric cars as well. Several insurance providers have introduced specific plans for electric cars, which are identical to petrol-powered vehicles.
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