What To Do When Your Motor Insurance Expires?
When your Motor Insurance expires it means you are no longer secured for unforeseen incidents like theft, damages, vandalism or repair and replacement.
To drive a vehicle in the UAE, car insurance expiration date is very important. you’ll need motor insurance as it’s obligatory by the law.
It is not advisable to take your car out expired insurance. Car insurance policy lapse is not good during your stay in the UAE. So, you need to purchase or renew your insurance policy on time.
Motor insurance Dubai can easily be renewed online without having to go through the trouble of visiting your insurer’s office.
You’ll start getting notifications from your insurance provider once your policy is at the end of its term.
There are certain things you need to know in case your insurance policy has expired and you want to renew it.
The Right Time to Renew a Policy
Many people find themselves confused about when to get their policy renewed.
Some believe it’s after 12 months and some say after 13 months. The standard motor insurance validity in the UAE are issued for a 13-month term. As per the UAE RTA traffic department has allowed a month grace period for the renewal of your policy, the insurance companies now issue the policy for an overall 13-month term to include that car insurance renewal grace period within.
So, in this way you get an extra month, penalty-free, to renew your insurance after the 12-month insurance policy expiration date.
Most of the insurance providers start notifying you regarding the expiration of your registration in advance. So, it is better to take proactive action and start your research before your policy expires to extend car insurance.. In this way, you can find yourself a good deal by comparing the alternatives available in the market and easily renew your expired insurance card.
Renewal With The Same Provider?
Some people prefer to renew their policy with the same provider as it is the most convenient option but this does not mean that it is the best one.
Sometimes you may get a good deal with the same insurer but that is not guaranteed. If you don’t survey the market before making the purchase you may miss out on great deals.
If you take your time and take a look at all the available options it is quite possible that you could get all your requirements covered with a lesser price to pay.
Once you start getting notifications about the expiry of your policy, start your research for the new one and find the policy that works best for you.
If you wait and delay the renewal, then you’ll have to go to your current provider and you may not get your desired insurance coverage or price.
How is the New Premium Calculated?
Different motor insurance Dubai providers use different formulas to calculate the premium. The determinants of these formulas include:
- driving history
- policyholder’s age
- marital status
- the number of years they’ve been driving for
- traffic rules violations
- vehicle’s age
- vehicle type
- the value of the vehicle, etc.
The premium also depends on the extent of coverage you want and the type of policy that you are going for while renewing.
The No Claims Bonus is a great way to get discounts on your new premium. If you haven’t been in an accident recently then you are eligible for a No Claims Discount or No Claims Bonus. The more the number of years you go without filing a claim for an accident, the better will be the discount on your renewal premium. If you are changing your insurance provider then be sure to get a No Claims Certificate from your previous vehicle insurance provider.
Steps to Take When Motor Insurance Policy Expires:
Immediately contact your insurer
The first thing you should do is to contact your insurance provider as soon as possible. As your insurer is the expert in the matter they’ll provide you with the information you need and let you know the right course of action that you should adopt. This will save you from hassle and trouble as they may reinstate you right away. If you wait and delay, then it will be more difficult to find an insurer who will ensure your vehicle especially if it’s an older model of the car. Delaying may also have an impact on the premium you pay and you can end up paying a lot more.
Avoid taking your car out
Avoid driving your car until your insurance policy has been renewed. Driving a car with an expired policy is just an unnecessary risk that you don’t want to take. The risk of an accident or a legal issue is multiplied if your vehicle is not insured. It is also a punishable offense by the law. If you take your car out, the probability of it getting damaged is always there. You’ll have to pay for the repair yourself as the car won’t be insured. If you are driving without insurance and get into an accident, you’ll not only have to pay for damages to your own car but you’ll also have to compensate the third party liability out of your own pocket.
Select your policy
The next step is to choose a policy that suits your needs the best. Compare the quotes of different policies and insurance providers. You can look online for the information that you need to make an informed decision. You can easily get the motor insurance online policy features and car insurance quotes online from different insurers and then select the one that suits you.
Keep documents ready
Once you know the policy that you are going for, then keep all the documents ready and handy to avoid any further delays and inconveniences. If you are going to a different insurance provider for the renewal of your policy then you will be asked to provide:
- Passport copy
- UAE Visa copy
- UAE driving license
- Car registration details (Mulkiya)
- No Claims Discount Certificate (if applicable)
If you are sticking with your current provider then most of the documentation can be skipped and you could just provide the details of your existing policy and proceed with the renewal process.
Vehicle survey appointment
For the renewal of the policy, after the expiration of the existing one, the insurer will send a surveyor to examine the condition of the car and determine the extent of pre-existing damages.
The appointment for a vehicle survey needs to be set up at the earliest to avoid any delays and increases in cost.
The inspection is chargeable and the insured has to pay for it. The findings of the surveyor will determine your eligibility for insurance.
Therefore, if the vehicle is already damaged then there might be a predetermined fixed deductible, set by the surveyor, depending on the extent of the damage.
Immediately buy a new policy
After the inspection is completed, it is advisable to buy a new policy as soon as possible. The inspection is valid only for a specific amount of time. The most ideal option is to buy or renew your motor insurance online.
What is the importance of motor insurance in the UAE?
It protects a person from financial liability which may occur due to damages and injures while you are driving. It is essential to get motor insurance in the UAE, because it has been made compulsory by the UAE government. It protects you from a sudden financial liability in case of an unfortunate event with your car.
Following are the frequently asked questions we receive related to the motor insurance expires:
How to check car insurance expiry date online ?
In order to check your current motor insurance policy expiry date. You can simply go to the provider official website to enter your policy number and registration details to get the information of car insurance expiration date , due premium date, premium amount and the last date of grace period. For further assistance and free online check you can contact buy any insurance.
When car insurance usually expires in the UAE?
Car insurance usually expires with in 12 months since the date of purchase. However, normally all companies in the UAE gives one month grace period. It means your car insurance will expire in 13months since the date of the purchase in the UAE.
What happens when car insurance expires in the UAE?
Once your car insurance policy expires. Legally you’re not entitled to drive a car on the road and in case traffic police caught you while driving with an expired car insurance, you might face penalties for it.
What to do if What to do if car insurance expired more than 3 months ?
If your motor insurance expires then, after 30 days of expiry you will be fined AED 25/month and incase of expired more than 3 months, your car will be impounded for 7 days.
How much is car insurance expired fine ?
Driving without car insurance fine is AED 500, and four black points will be awarded to your license. Further your vehicle can be confiscated for seven (7) days.
How can I check my car insurance status in UAE?
To check the insurance status, you visit the RTA website. Enter your log in credentials and you can see the available details for the car, including the car registration number, insurance plan, validity status, grace period, and expiration date, etc.
The most dangerous thing you can do to yourself and to others is when you let your motor insurance expires.
Driving a vehicle without an insurance policy is very dangerous, financially as well as legally.
You need to renew your motor insurance UAE as soon as it expires and for that, you need to gather all the relevant information beforehand to avoid any delays.
Get in touch with your insurance providers once you start receiving reminders from them regarding the expiration of your policy.
As they are the experts, they can guide you better while keeping your convenience a priority.
Originally published Nov 18, 2021 05:11:00 AM, updated Apr 29, 2022