Know the basics of auto insurance

Auto Insurance

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In the UAE, your vehicle may be insured without registration but it cannot be registered until it is insured. Thus, it is mandatory for every vehicle owner here to get an insurance policy.

There are as many vehicle insurance policies being offered as there are existing insurance companies. Unsure about what vehicle insurance policy to take? The two most common types of motor vehicle insurance are third party liability (TPL) and comprehensive insurance.

TPL is the very basic cover which gives the vehicle owner the least benefits. It shoulders the cost of damages and injuries (even death) caused on a third party, but it does not cover the vehicle owner or the vehicle itself.

The full comprehensive insurance has higher premiums, but it has extensive coverage that includes loss/damage to one’s own vehicle due to accident, theft and fire, personal accident cover, roadside assistance, agency repair, third party property damage and off-road accidents. It also provides protection when one is driving to Oman or other GCC countries.

Different insurance companies have different offerings, including optional insurance covers. Therefore, before signing any policy, do your homework first and check the features that will best meet your requirements.

Handy Hints
• In UAE, vehicles will not be registered unless insured
• Comprehensive insurance gives the most coverage
• Third party liability only covers third party damages

Source: Alfred Ocianas, Special to ClassifiedsThe writer is a freelancer