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Price of Car Insurance in Dubai – Basics and How To Calculate

When speaking about car insurance, Dubai is famous for insisting and following rigorous laws. This is mandatory for anyone driving a vehicle in Dubai, and ensuring the safety of your car is a logical step. The UAE Insurance Authority took precautionary measures while working on factors that determine the total cost of your potential car insurance.

We have done the homework and prepared suggestions to explain how to calculate or expect the right amount for the vehicle you intend to ensure while in Dubai.

Previous Drivers Experience and Drivers Age

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A significant influence on the total cost of car insurance depends on the driver’s age and past driving experience. Persons aged 23 -25 have a 25% higher price for vehicle insurance because they are a group of people with the most top accidents rate. The next group of people aged 25-30 years old can expect a 15% increased total price, and people over 30 and less 60 years around 10%. The driver experience has its saying in the calculation of the cost of car insurance.

The most noticeable is the fact that people who have less than a year of driving experience can expect a 25% increase in the final amount to pay. Knowing that the amount of money you need to pay can vary so much, we recommend you to check and compare the best car insurance in Dubai.

Current Market Value of the Vehicle

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The current market value of the car also influences the total cost. The average 3% is expected for vehicles that cost between 100 000 – 300 000 AED, for cars above 300 000 AED 2,75% is the number to expect. Note that if you drive a car that costs less money than 100 000 AED you will pay 3,25% of the vehicle’s total value for insurance.

Previous Fines and Accidents

One of the unusually typical only for car insurance in Dubai is the inclusion of the previous fines and accidents a driver already has on his name. The two mentioned result in a higher price for insurance taking into consideration prior fines and accidents as factors that increased the risk of damage on the vehicle.

We suggest that you consider a person who is older than 30 years, doesn’t have previous fines or accidents to his name and is an active driver over 5 years as the one to make the insurance on.

Type of Vehicle

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The chosen type of car is also included in the total sum for the price of the insurance. Sports cars have 20%, SUV and the majority of four-wheelers expect 10% increased car insurance.

The traffic law in Dubai considers vehicles under 5 years in their prime of performance, giving them a lower percentage to pay then the cars above the stated period. This is a stimulating measure to lead your decision towards a vehicle that is in the best shape possible and under five years.

We hope that these tips will help you make the best decision and find the car insurance in Dubai that fits your plans and budget.

About Stefania Trtica