Tips To Save On Your Car Insurance In Dubai

One never knows what the future holds for us. Emergencies, illnesses or accidents can cause major disruption in our lives mentally and financially. Insurance is one major safety net that we all need to think of. Whether it is medical insurance, life insurance, home insurance, travel insurance or car insurance in Dubai we need to be careful and plan ahead. Here in this article, let us specifically concentrate on car insurance in Dubai. In Dubai, almost everyone owns at least one car, and it is mandatory to have a car insurance cover too. In Dubai, a car is not a luxury anymore. It comes more under the category of necessity. Even with the metro and other public transport services being very convenient, it still doesn't always work or for everyone. And a car is definitely needed for other transport options whether it is for self-use or for one's family.

Also, when it comes to medical or life insurance, we do a lot of research and study. However, with car insurances, we do not do the same. It is our tendency to just go with what comes easier or whatever is suggested by the car dealer from whom you buy your car. In this article, we have given you various ways and tips in which you can save on your car insurance in Dubai.

Comparison

Whenever we buy something may it be apparels, electrical gadgets or any other product we always do shop around and compare. Car insurance is no different. It is always a good idea that you shop around and do your homework. You should be taking at least three quotes for comparison. These days you have various apps or online methods with which you can easily get quotes and can thus compare. You can then go with the best insurance in Dubai - whatever is cheapest and provides you with the best offers.

If you already have car insurance and it is due for renewal, you automatically go with the same company. Mind you, you this is not required. You still have the choice to shop around, compare and go with another company if you so choose to. If you find that another company is giving you a more competitive rate, you can always shift. Also, keep in mind that banks and car dealers provide you with the most expensive car insurances. Hence it is always a good idea to do a little research on prices.

What Kind of car insurance Are You Looking for?

The next step would be to decide what kind of insurance you are looking for. As far as car insurance in Dubai is concerned, there are two kinds - Comprehensive and third party liability. Comprehensive insurance - In the event of an accident, comprehensive insurance would cover both your car and the other one too. Since this has a wide cover, it would naturally be costlier. This is like the best insurance in Dubai as it covers you from personal accidents (when you are in a car accident), covers the vehicle, theft, malicious acts and fire. However, being quite on the pricey side it may not be a good option for all.

 

Third Party Liability Insurance

On the contrary, third party liability covers only the other party – that is the car and passengers of the other party involved in an accident. This kind of car insurance in Dubai would cost you much less comparatively. However, you will end up paying for your own car damage. This being said since this may not be a regular happening, you might save on your premiums. How much of a safety net you want to create for yourself without having to empty your pockets is a balance that you need to decide on.

You also need to keep in mind, that if you purchase your car in Dubai with the help of a loan, then most banks do not allow the third party liability insurance. You might need to go in for the comprehensive option.

Clean Record

If you have been a judicious driver and have had no claims on your car insurance in Dubai in the past couple of years, then you can ask for a discount on the premium. The best insurance in Dubai will surely give you a No claims discount. Even if you go with another provider, you can ask your current insurance provider to give you a No Claims Certificate which would show the years that you have had no claims. You can show this to the new provider.

The consumers of Dubai are being urged to take advantage of this no claim discount. In the start of the year 2018, certain amendments were made to the insurance regulations of the UAE which stated that insurers have to give discounts for those drivers that have not had any claims on their policies and are due for renewal. Such customers are eligible for up to 20% discounts on their renewals. However, it is also mandatory to provide a no claims certificate.

Earlier, insurance companies used to charge an administration fee for a no claims certificate. However, now it has been stipulated that there should be no charge applied for providing a no claims certificate. In fact, if you come across a company that is charging a fee for a no claims certificate, then you can also take it to the UAE Insurance Authority.

This new rule encourages competition and customers looking for the best insurance in Dubai can get some really cheap and competitive rates. This new rule has brought some good and positive changes for customers.

Car Selection

When you go in for a new car, the make, model and safety features play a major role in determining the insurance premiums. Larger models, modified cars, SUVs, sports models or the so-called hi-fi models end up with larger premiums.

Car Maintenance

If you keep your car well maintained and safe this helps your car insurance premiums too. If you add in safety features like car alarms or trackers it definitely helps your case. We all are aware that Dubai is extremely safe. And yet these kinds of safety features to help with the premiums being offered by insurance companies.

This being said it also matters if you increase or decrease the kilometers on your car. If you have a very high kilometer or mileage, then your car is a high-risk factor at breaking down and hence your premiums would accordingly be high. Instead, it is always better to use the car as less as possible. Use public transport when possible, try out carpooling and so on. This also helps the environment, doesn't it!

Repair Costs

Whenever you take the best insurance in Dubai, you are given the choice of Garage repairs or agency repairs. If you are in need of repairs, then obviously garage repairs are much cheaper. But we have a tendency to go with agency repairs. We think that they would be more specialized and qualitative. We think that garage repairs may not be up to the standard. On the contrary, insurance companies usually work with well-established garages in Dubai which offer you qualitative service at very reasonable rates. Hence, you can opt for garage repairs and thus save on premiums.

Add-ons

If you do not travel much out of the UAE or involve in activities like dune bashing or wadi bashing, then you can opt out of extra add-ons like Off-Road Coverage or GCC Coverage. This can get a major chunk reduced from your car insurance in Dubai.

Car Value estimation

We tend to overestimate our car value as a result of the insurance price which depends on the car value also hikes up. Hence, it is best that you estimate your car value correctly and do not overvalue it.

Insurance Excess

If you agree to contribute to any arising claims, the insurance providers will reduce your premiums. This is another clever way in which you can get the best insurance in Dubai for a low price.

In Bulk

If you own more than one car, then it is advisable that you take the best insurance in Dubai in bulk. Insurance providers in Dubai will give you a discount if you take insurance for multiple cars.

Check Insurance Options Online

There is various car insurance in Dubai that provides you with insurances online and also offer big discounts. Sometimes you can get as much as a 10% discount if you get your Dubai insurance online. As we have already mentioned you also get the choice of comparison between various companies. Such websites also have online calculators which makes it easy for any customer to have an idea of how much premium is expected from him. However, you do need to make sure that your car estimation is accurate; only then will your premium amount be accurate.

We understand that going through several insurance companies and quotes can be quite overwhelming. But this is a necessity. End of the day, you need to feel safe and secure and stay within your budget strings. Car Insurance may be a necessity, and it keeps you safe in the event of any mishaps. This does not mean that you need to pay through your skin. We hope that the above tips help you in reducing your car insurance premiums.