Third party fire and theft car insurance bridges the gap between basic and comprehensive coverage in the UAE. This guide explains what third-party fire and theft car insurance is, detailing how it protects against third-party liabilities, vehicle theft, and fire damage. You’ll discover key inclusions, exclusions, cost considerations, and whether this mid-tier fire and theft car insurance suits your needs in the Emirates
Understanding Third Party Fire and Theft Car Insurance
Third-party fire and theft insurance will cover you if your car is either damaged by fire or you face loss due to theft. Also, this insurance plan covers third party liabilities in accidents including injury or property damage. This policy is an intermediate coverage in terms of scope, somewhere between third-party and comprehensive car insurance. Car insurance 3rd party fire and theft is a great option for accidents that are simply out of your control. There are a couple of accidents that are covered by this insurance, while some are not. It is important to know what third-party fire and theft cover.
This mid-level policy costs 15-30% less than comprehensive insurance but offers more protection than basic third-party plans – ideal for older cars or budget-conscious drivers.
What Does Third Party Fire and Theft Car Insurance Cover?
If you are wondering what does third party fire and theft cover? You should know, third party fire and theft car insurance only covers three particular circumstances that are all mentioned in the name itself. This policy is ideal for drivers seeking affordable protection against uncontrollable risks like arson or burglary.
Third Party Liabilities
What does a third-party mean? The third party is the other person involved in an accident with you. If you’ve already been to an accident, learn how to claim car insurance for own damage so the whole process becomes very easy for you. Now in some cases when the accident is your fault, and you have been found responsible for the accident, third party fire and theft insurance covers certain costs:
- Damage done to the other person’s property
- Other person’s injury compensation costs and medical bills if necessary
Fire Damage
This means that if any damage is done to your vehicle due to an unexpected fire, the insurance provider pays for the repair costs as well as criminal fees.
Theft
In case of theft, third-party fire and theft car insurance comes in handy. Whether your car or a part of it gets stolen or there is some lost part, your insurer covers the costs of replacing it. If you’re worried about this, make sure to read article does vehicle insurance cover theft to stay prepared.
Optional Add-Ons (Policy-Dependent)
- Personal belongings coverage
- Audio system protection
- Roadside assistance
What is Not Covered by Third Party Fire And Theft Car Insurance?
Just like all types of insurance policies, there are certain cases in which 3rd party fire and theft car insurance policy won’t be able to help you. Pay attention to the following:
Wear-and-tear
Normal wear-and-tear damage is a very common issue that happens to vehicles of all sorts due to daily usage. Just like any other item and device, a car also gets worn and old the more you use it. This type of damage is not covered by any sort of insurance policy. Also consider checking the comprehensive vs third party insurance guide to get a detail of their differences in all processes and find lower car insurance prices.
Damage due to accidents under the influence of drugs
There are times when people cause accidents under the influence of drugs and alcohol. Driving in these situations is an illegal act and no insurance policy covers damage caused by these accidents. Therefore, be aware not to break these road rules, since you will have to pay out of pocket if you do.
Damage to your car due to an accident
Collision and comprehensive car insurance mainly cover any damage that is done to your car due to a road accident. Therefore, any accident other than the ones out of your control is not covered by fire and theft insurance.
Personal injuries to you or passengers
Requires separate personal accident cover..
Negligence-related losses
Theft from unlocked cars or improper vehicle use.
Illegal activities
This policy does not cover damage from accidents caused by illegal racing or damaged suffered while committing crimes.
Fire and Theft Car Insurance Vs. Third Party Insurance
You have probably heard the name of third-party car insurance here and there. Now you may be wondering, what is the difference between that, and car insurance theft and fire? Are they any different whatsoever? Well, the answer is yes. If car insurance third party fire and theft compare, it is due to a few options that one lacks. Let’s compare car insurance third party fire and theft plans:
Fire and Theft Car Insurance Covers
- Damage to the other person’s property due to an accident caused by you
- Injury to the other person and medical bills due to an accident caused by you
Fire and Theft Car Insurance Does NOT Cover
- Damage done to your vehicle due to fire
- Loss of property and belongings due to theft
Therefore, third party car insurance is a step behind and lacks a few options compared to third-party fire and theft. In this process, pay extra attention to factors that affect car insurance premiums since they have considerable influence on cost of car insurance.
Fire and Theft Car Insurance vs. Other Insurance Types
| Coverage Type | Third-Party Only | Third Party Fire & Theft | Comprehensive |
|---|---|---|---|
| Third-party injury/property | ✅ | ✅ | ✅ |
| Fire/theft damage | ❌ | ✅ | ✅ |
| Own accident damage | ❌ | ❌ | ✅ |
| Natural disasters | ❌ | ❌ | ✅ |
| Avg. annual premium | AED 600–850 | AED 900–1,300 | AED 1,500+ |
Choosing The Best Third Party Fire and Theft Car Insurance Policy
Just like any other insurance plan, choosing the best third-party fire and theft policy requires knowledge and research. There are certain features that some insurers provide in their policies, while others don’t. Make sure you read through what your providers offer before finalizing your plan. Let’s take a look at some qualities that we recommend you look for when choosing an insurer:
No claims discount
No claims discount, also known as no claims bonus, is an option dedicated to drivers who prioritize safe driving. This option rewards such drivers, by giving them up to %30 discounts in case they raise little to no claims throughout their insurance plan.
Immediate action
Make sure to check how long it takes for the insurer to start your plan, and whether or not the starting date is in your hands. Flexibility at the beginning of your insurance plan helps you trust your insurer while having no worries about losing unnecessary money along the way.
Safe checkouts and monthly offers
Good insurers prioritize your safety by providing a protected environment for you to make payments while giving you payment options through secure applications. Plus, these insurers usually prepare offers and discounts for their customers.
Cost Comparison and UAE Considerations
Fire and theft car insurance in the UAE is cost-effective in the long run, but the exposure to financial risk is considerable.
- Premiums: AED 900–1,300/year – lower than comprehensive but higher than third-party-only
- Key cost factors:
- Car age/value: Older cars = lower premiums
- Location: +20-25% in high-theft areas (e.g., Dubai vs. Sharjah)
- Driver history: No-claim discounts up to 30%
- Mileage: <10,000 km/year saves ~12%
Tip: Compare quotes from Oman Insurance (from AED 600), AXA Gulf (from AED 750), and RSA (from AED 850) for UAE-optimized plans.
Is Third Party Fire and Theft Car Insurance Right for You?
Third party fire and theft car insurance is an important type of insurance due to the high risk of the unexpected that threatens each of us on a day-to-day basis. None of us knows what lies ahead when we go out for a drive or park our vehicle in a parking lot. This insurance plan protects damage to your vehicle due to certain accidents while covering third party liabilities as well. While choosing an insurance policy, you should take notice of what each policy and provider offer, and make a decision. Fire and theft insurance is the middle ground between third party and fully comprehensive car insurance.
Pros:
- ✅ Cost-effective: 25-40% cheaper than comprehensive plans 57
- ✅ Theft/fire security: Critical for high-risk UAE areas (e.g., Dubai Marina) 6
- ✅ Ideal for older cars (>5 years) or low-value vehicles
Cons:
- ❌ No own-accident coverage: Pay out-of-pocket for at-fault collisions
- ❌ Limited customization: Fewer add-ons vs. comprehensive policies
Best for: Drivers of older sedans/hatchbacks, low-mileage users, or those parking in a secured location
Final Thoughts
Third party fire and theft car insurance offers a balanced solution for UAE drivers – more protection than basic third-party policies without comprehensive costs. It’s ideal for older vehicles, low-risk parking situations, or budget-limited drivers. Before choosing:
- Assess your car’s value – Comprehensive may be better for vehicles under 5 years
- Compare UAE quotes – Use platforms like Lookinsure or Policyhouse
- Review add-ons – Prioritize flood coverage if in Sharjah/Ajman flood zones
Frequently Answered Questions
1: What is third party insurance for cars in the UAE?
Third party car insurance is the minimum protection for insurance in the UAE. It covers damage due to third party liabilities such as injury and property damage.
2: What does third party fire and theft insurance cover?
Third-party fire and theft cover third party liabilities, as well as damage done to your vehicle due to fire, or repair costs due to theft.
3: Can you get NCB on fire/theft cover?
No-claim bonus (NCB) typically applies to motor insurance. For fire and theft covers, NCB usually does not apply.
4: Is theft insured if partial damage occurs?
Yes, theft coverage generally insures against theft and related damages, including partial damages caused during a theft attempt, if included in your policy.
5: Which insurance is best for a car after 5 years?
Comprehensive car insurance is the best option for owning a car after a couple of years. This insurance policy provides all sorts of protection for your vehicle.
6: Does fire coverage include natural disasters?
Fire coverage generally does not automatically include natural disasters like floods or earthquakes unless specifically mentioned in the policy. Always check the policy details or consult with your insurer.
