Whether you are on a business trip to Dubai or a temporary resident, you need to buy temporary car insurance for a car you drive in the meantime.
Car insurance is mandatory for any driver in Dubai and you are not an exception even if you borrowed a car from a friend for a couple of days. But you don’t need to pay for annual car insurance with high prices. In this article from Lookinsure mag, we will explore the concept of short-term car insurance, its availability in the UAE, benefits, and temporary car insurance cost to help you make informed decisions.
Frequently Answered Questions
1: Can I get short-term car insurance?
Yes, in the UAE, short-term car insurance is available, allowing drivers to get coverage for periods ranging from a single day to a few months, perfect for visitors or those needing temporary coverage.
2: Where can I get temporary car insurance?
You can obtain temporary car insurance from local insurance companies in the UAE, online insurers, or car rental agencies that offer short-term policies tailored to your needs.
3: What is temporary one-day car insurance?
Temporary one-day car insurance in the UAE provides coverage specifically for 24 hours, making it ideal for short trips, rental vehicles, or using someone else’s car.
4: How much does temporary car insurance cost?
The cost of temporary car insurance in the UAE typically ranges from AED 50 to AED 300 for a day, depending on factors like the type of vehicle, the driver’s age, and the level of coverage required.
What Is Temporary Car Insurance?
Temporary car insurance, also known as short-term car insurance, is a type of car insurance for a limited period. It mostly covers from one day to less than one year. This type of insurance is usually offered to people who rented a car on vacation, leased a loan car, or borrowed a car for a short time.
Especially if you are in a new country with low experience in driving, we suggest using plans like temporary car insurance for young drivers. In the UAE, temporary car insurance is available for both residents and visitors. So, if you’re a resident but need limited-time insurance for a reason, instead of a full-time policy, buying temporary car insurance can be a wise option.
Flexibility is the key benefit of temporary car insurance and also it has the same coverage as normal car insurance if any accidents happen. Exactly like a full-year policy, you can customize the coverages you need to fit your situation. This can result in significant cost savings and also helps you in case of an accident, whether it’s theft or a typical crash on highways.
Temporary Car Insurance Cost
Just like the long-term car insurance policies, the cost of temporary car insurance in the UAE depends on several factors including the days you are required to hold the policy, the level of coverage, and the driver’s age, driving history, and vehicle type. In general, if you want to calculate which one is the more economical option between long-term and short-term car insurance, the long-term is a winner.
In this subject, we divided the whole cost by days, but the fact is in this comparison time is the main subject. Short-term policies are more expensive per day than annual policies but can be more cost-effective for drivers who only require coverage for a short period.
To find the best temporary car insurance policy for your needs and budget, compare quotes from multiple providers. In Lookinsure we gathered quotes and prices from different insurers to help you make better decisions in a little amount of time. You can buy competitive rates and coverage options available in the UAE market in less than 2 minutes.
Types of Temporary Car Insurance
Understanding different types of short-term car insurance will help you select the most appropriate coverage to protect you against potential risks. There are several types of temporary car insurance policies available in the UAE, each designed to cater to specific needs and circumstances:
Temporary Rental Car Insurance
Temporary rental car insurance is designed specifically for drivers who are renting a vehicle in the UAE. This type of coverage protects the driver from financial liability for damage to the rental car or injuries to other parties involved in an accident. Many rental car companies offer temporary insurance policies, but drivers can also purchase coverage from third-party providers.
Popular Temporary Rental Car Insurance Coverages:
- Liability Protection
Covers third-party damages and injuries in the event of an accident where the insured is at fault. This is usually a legal requirement when renting a vehicle.
- Collision Damage Waiver (CDW)
Many rental companies offer CDW coverage, which limits the financial responsibility of the renter for damages to the rental vehicle. However, this may not cover all types of damage, so it’s essential to read the terms carefully.
- Theft Protection
Protects against vehicle theft while in the renter’s possession. Some policies may limit liability for theft but typically require owners to take reasonable precautions.
How to Buy Temporary Rental Car Insurance
Like other types of car insurance policies, you need to provide certain documents to buy short-term insurance for rental cars. Most rent companies buy insurance themselves and let you sign the agreement but you can also buy it yourself. You will need these documents:
- Valid Driver’s License (if you are a visitor, make sure you have an international driver’s license).
- Identification Proof (a copy of passport or Emirates ID)
- Rental agreement
- Proof of Address
- Credit card
- Previous Insurance Documents (if applicable)
Temporary Non-owner Car Insurance
Temporary non-owner car insurance is ideal for drivers who do not own a vehicle but still require coverage for occasional driving, such as when borrowing a friend’s car or using a shared vehicle.
This type of policy provides liability coverage for damage or injury caused by the policyholder while driving a vehicle they do not own.
Required Documents:
- Valid Driver’s License (A current and valid driver’s license is required. This must be recognized in the UAE.)
- Identification Proof
- Proof of Address
- Prior Insurance Information (If you have previous insurance or current coverage that may affect the new policy, provide relevant documentation.)
Duration of Temporary Car Insurance Plans
Temporary car insurance plans are designed with flexibility in mind. They offer various duration options, ensuring that policyholders can select the coverage that best fits their specific circumstances. Here’s a detailed look at the different durations available in temporary car insurance:
One-Day Temporary Car Insurance
This option is perfect for those who need coverage for just a single day. It’s a convenient choice for short-term needs, giving you peace of mind while driving a vehicle for a brief period.
7-Day Temporary Car Insurance
If your driving needs extend beyond just a day, a 7-day temporary car insurance policy might be the right choice for you. This plan offers coverage for an entire week, making it ideal for vacations, business trips, or any situation where you require a vehicle for several days.
30-Day Temporary Car Insurance
For those requiring a more extended period of coverage, 30-day temporary car insurance is an excellent option. This plan is particularly useful for individuals who may be relocating, using a rental car for a month, or temporarily borrowing a vehicle from a friend or family member.
90-Day Temporary Car Insurance
If you find yourself in need of even more extended coverage, a 90-day temporary car insurance plan can provide the security you require for up to three months. This option is beneficial for individuals who may be on an extended trip, a business project, or temporarily using a vehicle without owning one.
Temporary Business Car Insurance
Temporary business car insurance is a type of insurance policy mostly for business holders. It provides coverage for cars and vehicles that are used for business purposes such as traveling, logistics, and so on. The main point of this type of policy is to give freedom to business owners to buy insurance for only a limited time that the business needs. Temporary car insurance for business is mainly useful for:
- Companies and businesses that are participating in events or exhibitions
- Short-time projects like camera shooting, agencies, and party planners
- Companies that are testing new vehicles before permanent use
How Can You Buy Temporary Car Insurance for Businesses?
To obtain Temporary business car insurance, your representative of the company should provide these documents to the insurance company:
- Proof of Business ownership or LLC registration
- Vehicle details such as model, make registration, etc.
- Licenses and identification of all drivers
Compare Temporary Car Insurance Coverage
To help you find the best temporary car insurance policy for your needs, we have compiled a list of UAE-based short-term insurance providers along with their coverage details and add-ons:
| Provider | Coverage Details | Add-ons | Price | Benefits |
| AXA Gulf | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance -Replacement car- Off-road coverage GCC coverage | AED 300 – AED 1,200 | Offers short-term car insurance options tailored to various needs, including temporary coverage. |
| Abu Dhabi National Insurance Company (ADNIC) | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance Replacement car Personal belongings cover GCC coverage | AED 350 – AED 1,300 | Provides flexible temporary car insurance policies with options for different durations. |
| Dubai Insurance Company | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance- Replacement car Off-road coverage GCC coverage | AED 320 – AED 1,250 | Offers short-term insurance plans for individuals needing coverage for a limited time. |
| Emirates Insurance Company | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance Replacement car Personal belongings cover GCC coverage | AED 340 – AED 1,280 | Specializes in customizable temporary car insurance policies. |
| Ras Al Khaimah National Insurance Company (RAKNIC) | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance Replacement car Off-road coverage- GCC coverage | AED 310 – AED 1,220 | Provides various short-term coverage options, including policies for non-owner drivers. |
| Insurance House | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance Replacement car Personal belongings cover GCC coverage | AED 330 – AED 1,240 | Offers temporary car insurance with flexible terms to cater to different driving needs. |
| Union Insurance Company | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance Replacement car Off-road coverage GCC coverage | AED 350 – AED 1,300 | Provides short-term car insurance solutions for both residents and visitors in the UAE. |
| Al Ain Ahlia Insurance Company | Third-party liability Comprehensive coverage Personal accident cover | Roadside assistance Replacement car Personal belongings cover GCC coverage | AED 340 – AED 1,280 | Offers comprehensive short-term insurance plans that can be tailored to specific requirements. |
| Qatar Insurance Company (QIC) | Third-party liability/ Comprehensive coverage/Personal accident cover | Roadside assistance Replacement car Off-road coverage GCC coverage | AED 320 – AED 1,250 | Provides temporary car insurance for various durations, allowing customers to choose coverage that suits their needs. |
Compare Short-Term Car Insurance Providers on Lookinsure
If you are looking to buy temporary insurance online, our platform allows you to get instant quotes from a variety of reliable insurance providers in the UAE. Simply log in, insert your car’s details and compare the available plans, their benefits and prices.
- OIC (Orient Insurance Company)
- AXA temporary car insurance
- Abu Dhabi National Insurance Company (ADNIC)
- Dubai Insurance Company
- Emirates Insurance Company
- Ras Al Khaimah National Insurance Company (RAKNIC)
- Union Insurance Company
- Al Ain Ahlia Insurance Company
- Qatar Insurance Company (QIC)
