Traveling is an inevitable aspect of our lives. When traveling abroad, overseas auto insurance is essential coverage for people who travel to different countries and prefer to drive their private cars. Driving in different countries has all the same risks as driving in UAE, in addition to specific rules and regulations that you need to learn. Therefore, it seems even more necessary to have insurance when driving abroad.
Considering the risks of driving in other countries, there are insurance coverage options for people who travel a lot. Especially when your destinations are amongst GCC countries, there are great insurance options for you to stay safe. In this article from Lookinsure mag, we will look at this type of coverage and why we think it’s necessary.
Frequently Answered Questions
Do I need overseas auto insurance if I have a comprehensive policy in the UAE?
Most countries have car insurance as a mandatory requirement to allow you to drive there. The level of this coverage differs depending on the country. Comprehensive insurance in the UAE might not be enough to drive in foreign countries.
Can I purchase overseas auto insurance after I arrive in a foreign country?
Yes. You can purchase overseas auto insurance after you arrive at your destinated country. Make sure you check the process for this activity.
What happens if I get into an accident while driving abroad?
In this case, you should notify your insurer about the accident. They will help you with this process.
How much does overseas auto insurance typically cost?
The cost of your international insurance policy depends on the type of coverage you pick. However, this insurance for GCC countries is usually around AED 100 and AED 300 per month, and for European countries around AED 4500 and AED 7500 per month.
Should I choose overseas car hire excess insurance?
In case your insurance does not cover full access or your credit card does not provide rental insurance, you can get overseas car hire excess insurance.
Why Overseas Auto Insurance is Important?
Overseas car insurance, also called international car insurance cover is a policy similar to your current car insurance policy in the UAE. However, this insurance policy will provide you coverage even when you’re driving abroad and, in any country, other than the Emirates.
As you’re probably aware, standard car insurance policies (also known as domestic car insurance policies) come with limitations regarding where they apply. They’re usually only active in your country, and once you leave it, your car insurance policy does not support you anymore.
An international car insurance plan is here to safeguard you and your vehicle abroad. By lifting insurance limitations, you can drive around different countries using overseas car insurance without anything to worry about.
Moreover, there are penalties for uninsured driving in many countries. In case of wondering about What is the Fine for Not Having Car Insurance, it is safe to say that in the UAE you will have to pay at least AED 500 as well as receive four black points on your license.
Your vehicle might also be seized for a week. In GCC countries, these penalties are similar to the UAE. However, as an international driver, you might face much worse penalties in case of driving without acceptable insurance.
Legal Requirements for Driving In Foreign Countries
Just like any other legal process, applying for Car Insurance for Foreign Drivers has rules and regulations. When buying this type of coverage, you will have to provide certain requirements. Let’s take a look:
Driving License Requirements
When applying for overseas auto insurance, your driver’s license is necessary but probably not enough. Sometimes, you will need a driving permit to drive in certain countries. However, this depends on a country’s rules.
For Car insurance, an international driver’s license is necessary in certain countries. Therefore, it is crucial to know about your destination’s process methods.
| Country/Region | International Driving Permit (IDP) | UAE Driving License Validity | Additional Requirements |
| United States | Recommended (not mandatory in all states) | Valid for short-term visits (up to 1 year) | May require insurance and a vehicle rental agreement. |
| United Kingdom | Recommended | Valid for up to 12 months | Must carry passport and insurance documents. |
| Australia | Not required (depends on the state) | Valid for up to 6 months | IDP recommended; that local road rules must be followed. |
| European Union | Recommended in many countries | Valid for short-term visits | May need to show proof of insurance. |
Overseas Auto Insurance or Travel Insurance
In case you’re traveling to another country as a UAE resident, you will need travel or international insurance to drive around. Check out the rules of your country of destination before traveling. Travel insurance is mandatory in many countries to drive.
Required Documents for Imported Cars
Whether you are renting a vehicle in a foreign country, or you’re taking your own, there’s a lot of paperwork and documents regarding this matter. Make sure you have all the necessary documents with you.
Registration details and car insurance for driving abroad documents are necessary when gathering these documents. Make sure to check if your country of destination requires any special documents that you might not know about.
Modification Requirements
Just like the Emirates requires your car to have all the necessary gulf-special modifications, an overseas car insurance policy might come with certain requirements as well. It is important to check whether or not your car is ready to be driven in a certain country. If not, make the necessary modifications to be able to get international insurance. You can check the necessary modifications of the cars in insurance policies dedicated to different countries as well as a government’s website.
Overseas Insurance Coverage in GCC Countries
Overseas coverage for countries of the Gulf Cooperation Council, also known as the GCC cover is essential for UAE drivers when they want to travel to other member countries of the GCC and drive there.
The GCC includes Bahrain, Kuwait, Oman, Qatar, and the United Arab Emirates itself. The GCC coverage is necessary for driving in each of these countries (while residing in another one of them).
This policy provides coverage for you when driving internationally, and helps assure your safety. The GCC coverage is a form of overseas auto insurance that can also come in the form of temporary international auto insurance.
Types of Overseas Car Insurance Coverage
For overseas drivers, types of car insurance are similar to standard domestic policies. Let’s take a look:
Third-party Car Insurance
Third-party insurance coverage is a basic form of coverage that is also known for providing the lowest level of mandatory coverage in the UAE.
This policy only takes care of the damages to third-party liabilities due to an accident including property damage or self-injury.
This type of coverage does not take care of your property and vehicle, and no circumstances other than third-party liabilities are included under this category.
Comprehensive Car Insurance
The comprehensive car insurance policy lies on the other side of the spectrum. This type of coverage is known to provide the highest level of standard coverage.
Meaning, that third-party liabilities are covered as well as damage incurred to you or your vehicle due to accidents. When choosing comprehensive overseas auto insurance, many insurers also provide the driver with personal accident coverage.
Many of these policies also include coverage regarding the transit of your vehicle from your home country or previous country of residence (in case of immigration) to your destination.
How to Obtain International Car Insurance?
When looking for a car insurance buying guide, learning how to obtain international car insurance international driver’s license is essential. Let’s take a look at all the necessary steps to get your international license:
Choose A Suitable Overseas Auto Insurance
At Lookinsure, we have all the best car insurance companies in Dubai and across the UAE. To start your insurance process, you will have to choose a suitable international insurance policy first.
Many insurance providers offer this type of coverage. This includes choosing the type of coverage that is also necessary for you including the two main types of coverage: third-party and comprehensive.
Check Your Country of Destination’s Requirements.
Necessary documents differ from place to place. Therefore, before starting the insurance process, make sure to check your destination’s requirements.
Documents Required for Overseas Coverage
- Your valid UAE driver’s license
- Copy of your vehicle registration
- Passport or your residence permit
- Travel itinerary
- Proof of no claims discount if applicable
Confirm Cross-Border Insurance
In case of traveling to countries in Europe, Asia, and Africa, make sure that your insurer provides coverage for those countries as well. Some overseas policies only include GCC countries.
Make Sure Your UAE Driving License Is Valid
Even if you’re peacefully driving around in the UAE, when applying for overseas auto insurance make sure to check the validity of your UAE driver’s license in the country you opt to go to.
In Case of Long-Term Stay, Consider Special Policies
Most countries require different sorts of coverage when you’re planning to spend a long time or live there. You might have to get their domestic insurance in that case. Therefore, if you think you’re going to stay for long, make sure to check your destination’s rules and regulations.
Overseas Auto Insurance Inclusions
After comparing Comprehensive vs Third Party Insurance for international drivers, it’s time to take a look at all the overseas insurance coverage inclusions.
These can vary from coverage to coverage, however, the following inclusions are mainly part of the general options in most international insurance policies:
- Third-party property damages, or personal injuries
- Damage incurred by your car in certain accident
- Total car loss due to accident or theft
- Damage caused to the vehicle due to incidents such as vandalism
- Damage caused by natural disasters such as storms, earthquakes, fire, and flood
- In case of importing your vehicle, transit coverage from departure to the destination
- Rental car insurance reimbursement
- Uninsured motorist coverage
Just like any other insurance policy, when getting this type of coverage, you can choose a few optional add-ons to your plan. When it comes to overseas car insurance, these are a few common add0ons you can choose:
- Breakdown coverage
- Roadside assistance coverage
- Excess liability coverage
- Personal accident coverage
- Passenger coverage
- Car accessories protection coverage
- No depreciation coverage
Overseas Car Insurance Exclusions
After looking through the international coverage inclusions, it is important to take a look at what the policy does not include:
- Wear and tear coverage
- Mechanical or technical breakdowns unless mentioned in the policy
- Claims beyond the coverage limitations of the policy
- Accidents due to driving under the influence of drugs or alcohol
- Using the vehicle for commercial purposes without the necessary permit
- Accidents due to illegal activities
- Intentional damage to the vehicle
Best Overseas Car Insurance Providers in UAE
When choosing a suitable insurance provider for overseas insurance, certain leading insurers in the UAE include:
- AXA Insurance
- Oman Insurance
- RSA Insurance
- Abu Dhabi National Insurance Company (ADNIC)
- Salama Insurance
- AL Sagr insurance
- Adamjee insurance
- Tokio marine insurance
- Noor takaful insurance
Compare Overseas Auto Insurance Options on Lookinsure
At Lookinsure, we have gathered all the UAE’s best insurers in one place to help ease the process for you as lookinsure Mag. We are here to guide you through all the steps you may need to choose and purchase your insurance policy.
We’re also here to help you compare insurance quotes much simpler. Comparing insurance quotes is essential when choosing and finalizing a policy. This is because you will have to look through different providers and their policies which requires so much time and research.
With Lookinsure, you can stay on one website while comparing quotes. Also, by answering our few simple questions, we will be able to eliminate unnecessary options and recommend the most suitable policies available in the UAE.
Conclusion
Overseas auto insurance is a type of insurance coverage that enables you to drive in foreign countries. This type of coverage is necessary due to the importance of having insurance when driving anywhere in the world. Driving with no insurance leads to penalties almost everywhere in the world. Plus, affordable car insurance for high-risk drivers and the safety of you and other passengers is essential. In case you travel a lot, plan on traveling for a long time, or have to drive in a foreign country for any reason, international car insurance cover will be able to help you. GCC coverage for Gulf Cooperation Council countries or other international types of coverage is amongst overseas auto insurance.
