How to Renew Your Car Insurance Policy in the UAE
Is your car insurance policy up for renewal? Now may be a good time to review your options and plan your car insurance purchase carefully. Doing a bit of homework can eventually help you make an informed decision – One that you won’t regret down the line.
The Souqalmal.com team has prepared a guide that lists everything you need to know about the car insurance renewal process in the UAE, its intricacies and requirements, along with tips and tricks to help you choose the best policy for yourself.
Ideal Time to Renew Car Insurance
In the UAE, car insurance policies provide coverage for 13-months. The one extra month is mandated by UAE traffic laws to provide a grace period to car owners for renewal of their insurance registration.
Your current insurance provider will start sending you reminders for renewal around the eleventh or twelfth month mark before your existing policy expires. The insurer will remind you, and possibly even incentivize you, for renewing your policy with them. It is at this moment that you can choose to renew the policy with the same provider or browse the market for other options.
Documents Required for Renewal
When renewing your car insurance, you would be required to provide a copy of your passport, residence visa, Emirates ID, UAE driving license, along with the details of your car registration.
No Claims Discount
If you haven’t made any claims on your existing insurance policy, then you become eligible for a no claims bonus that can reduce the premium of your new insurance. Consider it a reward by your insurance provider for being a good driver!
To claim the discount, you would need a no claims certificate issued by your existing insurance provider. It is on the basis of this document that prospective car insurance providers will lower your next premium.
The Math Behind Premium Calculation
There are a lot of factors that influence the premium of your car insurance. So be prepared as your renewed policy premium may be higher or lower than the one you paid previously. Just as a no claims discount will reduce your premium, a history of claims in the past can just as easily drive your premium up.
If you’re looking for ways to save on your car insurance premium, one of the easier solutions could be to pay a higher deductible or even eliminate some unnecessary add-ons from the policy such as off-road cover (if off-roading isn’t something you would normally do) or roadside assistance (if your credit card offers free roadside assistance services).
Altering Your Insurance Coverage
Many people choose to stick with the same policy because it is hassle-free. However, it is important to read the fine print in your policy to ensure that you’re adequately covered and aren’t paying a higher-than-usual premium.
The first choice you can make is between a comprehensive plan and a third party insurance cover. If your car is new, then having a comprehensive plan would be the ideal choice. However, if you have been using your car for years, then you know that the repairs will cost relatively less. Therefore, you could consider choosing a basic third party insurance plan to save money on the premium.
How to score a good deal
If you want to save yourself the hassle and money without compromising on the quality of your insurance policy, then it is best to check the available options online and compare them side-by-side. Even though it may seem like a good option to stay with the same provider, you may actually be missing out on better deals if you don’t look around.
With car insurance comparison platforms like Souqalmal.com, you can get a quote in less than a minute and a policy processed in less than an hour. You can compare over 15 different quotes from more than 10 leading insurance providers in the UAE, all at the click of a button. And not just that, you can also customize your policy coverage to fit your exact requirements and end up buying a policy that’s just right for you.
Ankita Singh, Head of Content, Souqalmal.com
Souqalmal.com (Souq al Mal is Arabic for ‘money market’) is the #1 comparison website in the Middle East and lets you compare financial and insurance products before you say ‘I do’.
Our vision was to create a highly transparent marketplace, empowering MENA consumers to make the right choice by bringing them all the latest details to compare in one place on more than 3,200 retail banking, telecoms, insurance and education products offered by various providers in the UAE and Saudi Arabia (KSA).
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