Many people dream of making their very own car collection. But while having one-too many cars is a dreamy luxury, managing them is also quite difficult. Most of you have had the experience of managing one car. Now, imagine having to take care of more. It requires extra effort, and obviously, increases your costs. One such challenge is multi-car insurance. This option is aimed at people who own more than a single vehicle, and saves them from certain problems while reducing their costs.
In this article from Lookinsure mag, we are examining the most common questions about multi-car insurance, such as the technicalities of multiple-car insurance policies, how to get the cheapest multi-car insurance policy, if you can have more than one car insurance policy, and how to get multiple car insurance quotes.
Frequently Answered Questions
1: What are the two types of car insurance in UAE?
Comprehensive and Third-party liability are two main types of car insurance in the UAE.
2: Can I have multi car insurance?
In case of owning more than one car, you can get a multi car insurance policy from your insurer.
3: Can I have two insurance plans in the UAE?
Yes. It is legal for you to have more than one insurance policy in the UAE.
4: What is third party insurance for cars in the UAE?
Third party or liability car insurance covers costs due to an accident you caused while driving. These damages include bodily injuries and property damage for the other person involved in the accident.
5: Can a car have two insurance policies?
Yes! Having two insurance policies for a single car is perfectly legal. But it doesn’t mean doubling your cover or pay-out.
6: Can I have multiple car insurance policies?
Yes. It is legal for you to have more than one insurance policy in the UAE.
What is Multi-Car insurance?
As it is almost clear from its name, multi car insurance covers multiple cars under a policy from the same insurance provider. In the case of owning multiple cars as a family or a single person, this insurance policy can be a good option.
This is a simpler way to manage insurance while getting access to its benefits. Some multi car insurance policies cover cars from the same address, however, some of them also can include cars from different addresses. This is best for a family living in separate places. Also, if someone else other than you will drive your car, learn how to add someone to your car insurance for peace of mind and extra coverage.
Let’s compare single-car insurance versus multi-car policy!
| Feature | Single-Car Insurance | Multi-Car Policy |
| Coverage | Covers one vehicle | Covers multiple vehicles under one policy |
| Premiums | Generally higher per vehicle | Often lower per vehicle due to multi-car discounts |
| Discounts | Limited to single-car discounts | Additional discounts for insuring multiple cars |
| Convenience | Separate policies for each vehicle | One consolidated policy for all vehicles |
| Billing | Separate billing for each policy | Single billing statement for all vehicles |
| Claims Process | Separate claims for each vehicle | Streamlined claims process for all vehicles |
| Eligibility | Any individual vehicle | Typically requires all vehicles to be garaged at the same address |
Whether you use your car to drive only on the weekends, or you’re a daily commuter, you may require different types of car insurance.
One vehicle insurance includes all the details on a certain car and is based on the small factors of that one vehicle. However, multi-car insurance includes a few vehicles under the same policy. Once all the vehicles have been analyzed and underwritten, the insurer provides an insurance quote with a certain premium, coverage, and cost.
When there are multiple cars under the same policy, the car with the higher value (based on car type or build year) is the primary vehicle for the policy. Other vehicles under the same policy are called secondary vehicles.
How Does Multi-Car Insurance Work?
Multi-car insurance works just like any other car insurance policy. Just like a regular plan, it protects you, your vehicle, and other drivers as well. Taking care of financial hassles regarding road incidents is probably its biggest advantage. While having car insurance is mandatory in the UAE and driving around without it has particular penalties, multi-car insurance is a shortcut to getting a suitable insurance policy for all of your vehicles.
In this process, pay extra attention to factors that affect car insurance premiums since they have considerable influence on cost of car insurance.
Understanding the Benefits of Multi Car Insurance
The principles of multi car insurance policies are the same as other types of insurance policies in the UAE. However, this insurance has several benefits for its target consumers. Let’s take a look at a few of these benefits:
Unique Discounts and Offers
Most insurance companies offer certain discounts for someone who decides to get a multi car insurance policy. The total premium rate is usually lower in this type of insurance, compared to multiple single insurance plans. This helps users and consumers save a significant amount while not having to deal with several different quotes and policies.
There’s also the issue of deductible, for which we have a full guide called how does auto insurance deductible work to complete your information. Of course, who wouldn’t like to know how to get cheap car insurance. Check out our guide for the most practical tips.
Simpler Procedure and Easier Documentation
Imagine getting several tasks done in one single procedure. That is how multi car insurance works. This eases record keeping and keeping track of your vehicles while letting you deal with only one insurance policy for several different vehicles.
No Claims Discount
The NCD, also known as the no claims bonus or no claims discount is an offer that rewards safe drivers. It is a bonus feature for people with little to no claims in their insurance history. While motivating drivers to prioritize safety this factor comforts people who worry about making payments without needing services. This applies to every single car and is a great opportunity for multi car insurance policyholders since they have more than one vehicle under their policy.
Don’t miss out our guide on no claim bonus in motor insurance since it will help you save a lot on your insurance.
Simultaneous Renewal Dates
You don’t have to get caught up with different renewal dates for each of your vehicles. With multi car insurance, you only have to mark a certain date and file your multi-auto insurance all at once. This helps save so much time and energy while reducing your worries on saving different dates.
Extensive Coverage Benefits
As a multi car owner, you might be wondering what if your cars require different types of care? Well, we have good news for you. With most insurance providers, you are able to customize your insurance policy and list your very own requirements. For example, here at Lookinsure, we make sure you get your requirements all in one place.
Breakdown Coverage
Most insurers provide a multi-car breakdown cover that protects drivers and their vehicles on every vehicle at the same time. In some cases, you might need temporary car insurance while any issues with your main car or main coverage gets settled.
Who Can Get Multi-Car Insurance Policy
While the multi car insurance is a great offer for many people who own different cars or households with a number of vehicles, it might not be the right choice for everyone.
For instance, in case you own two vehicles and use one for a different matter such as business, it is best if you separate their insurance and choose different policies for each of them. We usually recommend commercial car insurance for vehicles used for business purposes.
If one of the parties also owns a very expensive car that is so high in value, it might not be a good idea to get multi car insurance with them as a policyholder. This is because their car increases the total insurance rate. Therefore, your costs also increase significantly, even though you don’t have to pay that much for your vehicle if you decide to get it insured.
What is Covered by Multi-Car insurance?
Car insurance is mandatory in Dubai, and drivers with no insurance face penalties. There are certain insurance coverages for almost any sort of car and vehicle. However, in multi-car insurance, there are common coverage options for multi car insurance plans. Let’s take a look:
Collision Insurance
Collision insurance is amongst the most common and primary insurance options. This type of insurance covers the repair fees of your vehicle in case of an accident.
Third-party Insurance
Third-party insurance, also known as liability insurance includes two types of injury: bodily injury and property damage. It covers the other driver’s damages if you have caused the accident.
Comprehensive Car Insurance
In case of a non-collision accident, this insurance helps cover your repair fees. These accidents include vandalism, theft, damage due to road debris and animals, and weather-related incidents.
Rental Coverage
If your car faces damage due to an accident and needs repair, this type of coverage helps you rent a car while your vehicle is getting fixed.
How Does Multi Car Insurance Policy Quote Work in Dubai?
As we mentioned earlier, in terms of coverage, almost any type of regular car coverage is offered in this policy. Third-party and comprehensive insurance coverage are both available in multi car insurance policies in Dubai.
Typically, you can add two to 10 cars under the same policy. However, different insurers provide different services and offer different policies. It is best to check this with your insurer. Each of the very vehicles are examined and underwritten separately.
The most ideal situation is if your collection contains cars of similar conditions and types. This is because your highest value vehicle becomes the primary vehicle in your insurance policy and this increases your overall premium rates.
Step-by-Step Guide to Multi Car Insurance Qoute
- Information Gathering: The insurance provider will collect details about all the vehicles you want to insure. This includes make, model, year, and any modifications.
- Driver Details: Information about the drivers, such as age, driving history, and claims history, is also required. This helps the insurer assess the risk associated with each driver.
- Vehicle Inspection: Some insurers may require an inspection of the vehicles to check their condition before providing a quote.
- Quote Calculation: The insurer will then calculate the premium based on the combined risk of all vehicles and drivers. Factors like the value of the vehicles, their usage, and the drivers’ profiles will influence the final quote.
- Discounts and Benefits: Multi-car policies often come with discounts, making them more cost-effective than insuring each vehicle separately. Additionally, each car can have its own level of coverage, tailored to its specific needs.
- Policy Issuance: Once you agree to the quote, the insurer will issue a single policy covering all the vehicles. This simplifies management with one renewal date and one set of documents
Can You Have 2 Insurance Policies on 1 Car?
Can I have two car insurance policies? It is possible to have two car insurance policies on one car and two car insurance policies at the same time in Dubai. This means getting different policy plans for one vehicle, which is actually very common. This is a great way to prevent different types of damage and reduce costs by a significant amount.
Are Multi Car Insurance Plans Cheaper?
Even though this depends on your policy and insurer, multi car insurance is usually ideal for people with certain vehicles since providers usually offer discounts for insurance on multiple cars.
If you are a household with different vehicles or someone who owns more than one car, you can get multi-car insurance instead of individually insuring each car. Typically, this method is more convenient and budget-friendly.
This allows you to buy a single policy and use it for all your different cars. The discounts that insurance companies offer their customers for multi-insurance policies can go up to %30.
However, certain factors might limit you as a driver if you choose this type of policy. We recommend getting in touch with your insurer. Here at Lookinsure, we offer you professional advice in order to help you choose the most efficient and suitable policy.
Factors Affecting Multi Car Insurance Prices
Apart from the factors that always affect insurance despite its type and policy, there are a few points regarding multi car insurance which determine its final costs. Let’s take a look:
| Factor | Description |
| Driver’s Records and History | All registered drivers’ records are inspected. If even one driver has a history of breaking traffic rules in the UAE, the insurance rate increases for all policyholders. |
| Car Refinement | Insurance rates increase if any of the cars have modifications to add features or change their appearance. This increased rate applies to all cars under the same policy. |
| Driver’s Age | Drivers under 25 are considered high-risk in the UAE. If any of the drivers are young, the insurance rates increase. |
| Vehicle’s Age | Older cars, especially classic, vintage, and antique ones, are higher in value and have a higher risk of damage. Therefore, older cars might also affect the insurance rate. |
Conclusion
Owning multiple cars as a household is not so strange in today’s machine world. Also, so many people show their interest in cars and driving by buying multiple cars and gathering a collection of their favorites. Therefore, multi car insurance policy quotes have been created for people who own more than a single car or families that want to insure all their vehicles under the same policy. Getting a multi car insurance policy has many benefits.It mostly helps to reduce the costs and save more time and energy, since you only have to deal with one policy rather than a couple different ones.
Here at Lookinsure, we have gathered UAE’s most trustworthy and reliable insurers all at one place in order to help you pick the most suitable policy for you. Our team of professionals will help you decide if the multi car insurance policy is the right pick for you. Make sure to contact us for further information.
