4 Surefire Ways to Get Cheap Home Insurance in Dubai
Home security shouldn’t come at the cost of an arm and a leg. Cheap home insurance is key to having your cake and eating it too.
There are many things we can’t take for granted that our parent’s generation could. An abundant job market, a thriving economy, and the prospect of buying a house in our twenties are just the tip of the iceberg. For those who do manage to buy a property, it is then a steep order to ensure its security.
Dubai as a city is fairly new. It has new residential developments popping up every month with more being planned for the future. Its dynamic job market and boosted economy make it a great attraction for expats. These expats need a place to stay. Hence the constant demand for rentable properties. And since rental properties are in such high demand it makes sense that home insurance will be too.
Since home ownership is a major investment it makes sense to insure it against damage. This is similarly true if you’re renting. It is a space that you will be occupying for a long period of time. You need to ensure that it is secure and safe. However, home insurance is not mandatory in the UAE, unlike its health and motor counterparts.
But home insurance can be expensive. You need to make sure that you only pay for the damage coverage you need. It can be confusing when the sales representative is promoting every unnecessary feature. They make everything sound important. You panic because you want to secure your home and buy things you don’t need. This makes their commission and you end up with a high premium that eats into your monthly budget.
So, here are 4 surefire ways to get cheap home insurance in Dubai.
Compare for Cheaper Quotes
There is honestly nothing better, or simpler than to compare home insurance before you buy. First of all its free. Insurance comparison sites don’t charge you to use their services to find cheap home insurance.
There are many insurance providers in Dubai. The easiest and least time-consuming way to review them all is on an insurance comparison site. Cheap home insurance policies can be sourced by websites. You can change your specifications to review more options.
The comparison should not end once a policy has been purchased. A constant review should be done to catch any deals or discounts that are doing the rounds. This is especially necessary around the time of renewing your policy.
Insurance providers update and upgrade their current policies every year, so you can expect an increase in the premium. To avoid this unnecessary hike you can switch providers. So, compare cheap home insurance policies online so it’s easier to switch to a new provider when the need arises.
Know the Value of Your Home
This is a rookie mistake most of us make. We believe in overestimating the value of our property or our belongings we’re going to get extra coverage in the event of damage. What we conveniently forget is this will increase our premium prohibitively. If the aim is to get cheap home insurance then this needs to be reviewed.
To get cheap home insurance make sure you disclose the accurate value of your possessions. This can easily be done. Evaluate the cost of your belongings, and get an estimate of your property value from a professional surveyor.
Different Policies for Different Folks
Home insurance plans come in many shapes and sizes. Not all of them are meant for everybody. You might be paying more for a policy you don’t even need. But how do you know which policy is best for you? To avoid this confusion it is best to understand what each policy contains:
This type of insurance covers the building itself. It includes floors, walls, windows, fixtures, backyards, etc. basically the structure and its surrounding attachments. It also includes a modicum of third-party liability, insuring against any loss of life or medical claims on the property. Building insurance covers against fire, vandalism, and malicious acts of destruction.
If you don’t own a property or a building, then this type of insurance isn’t for you. It is the most expensive kind because it protects the entire building.
Home Contents Insurance
After the building comes the interior. While the floors and walls are covered in building insurance the added amenities aren’t. Home contents insurance is especially great for renters because it protects their electronics, home appliances, and furniture from theft, fire, and damage.
This is the least expensive kind of insurance that you can purchase.
Personal Belongings Insurance
Personal belongings insurance differs from home contents insurance in one regard – you can take personal belongings out of the house. Therefore these items, such as clothes, jewellery, laptops and smartphones etc, are at higher risk of damage because they leave the relative security of the house.
Personal belonging insurance is comparatively expensive to home contents insurance. But it is also geared towards renters who don’t own homes.
The Value of Land
Similar to overestimating the worth of your property, when you are buying insurance make sure to subtract the value of the land. Building insurance already includes backyards, gardens, etc so including the value of land will exorbitantly increase the premium. Fire and property damage does not affect the value of the land. Therefore, it doesn’t need insuring as much as the building, which loses value over the years. To get cheap home insurance always subtract the value of the land.
Home insurance isn’t as popular in Dubai as it should be. This is mostly due to the fact that a lot of residents of the UAE are expats. They see no value in insuring property that isn’t theirs. This is a dangerous way to live especially when home insurance is affordable.
Expats in Dubai need to realise that though the homes they rent are insured their personal belongings aren’t. This viewpoint will change the way home insurance is seen in Dubai. It will hopefully start a much-needed trend to safeguarding the homes of those who live here.
Originally published Nov 04, 2019 12:11:18 PM, updated May 31, 2021