Among many known countries with stringent traffic laws and rules is Dubai. All cars and motorists it’s mandatory that they are covered with ensures cars safety. This covers in most cases varies with the type of a car, for that reason those seeking Dubai car insurance must know how their premium drives and how to estimate car insurance cost. This blog will analyze how to estimate car insurance cost and essential factors that affect car insurance prices   and in not any other place but Dubai.

Cost estimations

Car insurance prices have several categories. Car value ranging from AED 100,000-AED 300,000 starting car insurance premium 3%, those with less than AED 100,000 average rate is 3%, and those with above AED 300,000 the average insurance rate is 2.75%. As you estimate the cost of insurance charges, it’s brave to put in consideration the surcharges as well.

We have factors and their costs as indicated; age 23-25 cost is 25%, age 25-30 is 15%, above that but less than 60yrs subtract 10%, sports car add 20%,brand new cars add 20%,those registered in Northern Emirates add 5%, SUV or any other 4 wheel subtract 10%, drivers license less than 1 year is 25%.

Factors that affect car insurance cost in Dubai

The task of giving an exact cost of insurance price isn’t easy at all. This is because of various factors that come along. If you have plans of getting your car covered and you need to know the  cost estimations then get to know the  factors that might help you.

Car cost

Your car value will determine the price of an insurance cover you are supposed to take. Certain set rules will enable you to cover your car as per those market prices.

For example if cars market price is above AED 300,000 then insurance rate will be 2.75%, those that cost between AED 100,000- AED 300,000 the insurance rate is 3%, those having less than AED 100,000 the average premium cost is 3.25%.this rules applies everywhere, no matter the company that you will visit.

Car type

Your car type will have an effect on the premium you will be charged by the insurance company. For basic cars, you will pay a nominal insurance premium. SUVs and other 4 wheels usually pay a higher insurance premium. This is so because SUVs and other 4 wheels have a higher cost when compared to a basic car.

Driver’s age

Apart from car cost and cart type, note that drivers age also contributes to price of the insurance cover, on that note, for you to have an estimation, add up to 25% of basic premium rate that you are currently paying for ages between 23-25, add 15% to the premium amount if you are in the age gap of 25-30years, for ages of 30-60 years add 10% discount to premiums you are paying currently. For those with a driver’s license less than 1 year then you add 25% on your premium.

Types of car insurance

Car insurance in Dubai comes in two types, the policy offered is either third party or comprehensive. Comprehensive is complex with a lot of features but third party has less features though it’s mandatory. Let’s look into detailed information about these policies.

Comprehensive car insurance

It has the best deals and features that are more elaborate, and for that reason most insurance companies in Dubai will always ask you to take this cover.

Some benefits that you can accrue from this cover are that it protects your car from damages such as fire, theft and many more. Another vital thing is that it includes the third party liability cost.

Sounds great! It has various add on features. In other circumstances you may opt for higher car insurance UEA price maybe in the case of comprehensive car insurance.

Third party insurance

It’s a basic plan and kindly note that it is mandatory by the law. This policy really favors a third party because the law wants to ensure that you have enough and you will be  in position to provide enough for a third party in case an accident occurs so that they are fully compensated.

Getting a lower insurance cover is possible, what you can do is to walk around and have a comparison of car insurance Dubai quotes and choose one that is favorable and fairly priced. You can also ask for a discount and for sure you will get one.

To also save on car insurance costs, please get an NCB. Another way is by maintaining good driving records as it attracts competitive car insurance premiums across Dubai.

We have covered important information on cost of insurance of supercars in Dubai, factors that determine the cost of insurance premium that you will get, types of car insurance and lastly, ways to use if you want to get a lower insurance premium.