Motor Insurance : FAQ

Motor insurance provides financial protection against physical damage and/or bodily injury resulting from traffic collisions and against liability that could also arise therefrom

Yes, minimum of Third Party liability cover is mandatory in U.A.E

There are mainly two types of motor insurance: 'Third Party Insurance' and 'Comprehensive Insurance'.
 

Third Party insurance protects a policy holder against losses which arise due to Third Party bodily injury/death or  property damage. It is mandatory by law to have third party insurance.
 

However, this insurance does not protect you against losses which arise due to bodily injury/death to you, your vehicle and co-passengers. If you would like to be compensated for any damages to you, your co-passengers and your vehicle in addition to third Party coverage, you are adviced to purchase comprehensive motor insurance with PAB

Comprehensive motor policy is more appropriate as it provides both Third Party coverage and damages/loss to one's own vehicle, co-passengers and self.

You must be completely transparant with your insurer by disclosing any and all information that might be relevant to your insurance cover. If you don't, then you risk having your policy getting void or being left out without cover. If you don't, then you are at risk of having your insurance policy revoked or void and being left without cover. We need to be informed of all your details, driving history, vehicle user, vehicle details and location.

Insurance companies work with different statistics and use different methods to calculate premiums. Some companies are specialized in certain areas or types and so are prepared to give discounts in those areas. This adds to the complexity as various companies yield varied prices.

If the vehicle is mainly used for commercial purposes it is always advisable to purchase commercial auto insurance as private muroor policies will have certain restrictions.

If you do not receive your insurance certificate right away, you will receive a cover note. It is a temporary insurance document establishing proof of Insurance and you can register your vehicle with it. The cover note is valid for 60 days from its date of issue. It is replaced by the actual policy document and certificate.