Home Blog Page 2

Get up to 100% discount on Dubai traffic fines – Money Clinic

0
Dubai New Traffic Fines

Dubai Police has taken an initiative in the Year of Tolerance with 100% traffic fine discount. Motorists are offered a chance to remove all their current traffic fines.

His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai has directed the launch of this initiative.

car insurance UAE
During the press conference organized at the headquarters of Dubai Police, the initiative was discussed by the Commander-in-Chief of the department of Dubai Police.

According to the Commander-in-Chief Major General Abdullah Khalifa Al Marri, motorists don’t need to pay their existing traffic fines, as per the specified rates.

However, this is possible if they keep on following the traffic rules this whole year.
Assistant Commander-in-Chief, Major General Mohammed Saif Al Zafeen explained that this initiative is applicable to all Dubai registered vehicles.

The condition is that a driver has to follow all traffic regulations and laws without committing any traffic rule violation throughout this year, right from the month of February 2019.

The idea behind this initiative is to increase customer happiness and satisfaction living in the UAE. It also aligns with the initiative of the Year of Tolerance.

Though the drivers can obtain a 100% discount, the discount depends on the number of months a driver spends without any traffic rule violation:

1. Following the traffic rules for at least 3 months- 25% discount
2. Following the traffic rules for at least 6 months- 50% discount
3. Following the traffic rules for at least 9 months- 75% discount
4. Following the traffic rules for 1 year- 100% discount

Are you looking for discounts on Car Insurance too?  Get Discounts on Car Insurance 

Al Zafeen also explained that this discount initiative is only for the vehicles that are privately owned. All vehicles registered with companies, rental offices or businesses don’t come under this initiative. This includes both private as well as public transport companies.

Car Insurance Cost in UAE

0
Car Insurance cost UAE

Deciding on the car for yourself is easier but determining the insurance type you need and the cost of the insurance covered is tedious. The car insurance cost in Dubai is low when compared to other countries, but let me ask you something how many of you know the reasons for your car insurance cost?

You need to know about the various factors that produced a significant impact on your car premium namely the car type, age, etc. Sort out different option you have when choosing a policy and calculate the car insurance cost as per your budget and other requirements reliably. Today we will check on the value of your car insurance and additional related information in depth.

Related: Get VAT Free Car Insurance in UAE

Car Insurance Cost – Getting Started:

There was a revision in the car insurance cost by the UAE Insurance Authorities in the name of Revised Insurance Rates, which indicated a considerable hike in the price.

Everyone might have known about the “ballpark” figure and their different types of caps (Minimum and maximum) number of car insurance caps. The real fact is that the overall rate of your premium car insurance is affected by certain other vital factors (can or cannot controlled ones).

We have listed down few details which will provide a quick look on the variables that affect your car insurance rates in UAE as well as the process of your premium calculation in a detailed way. Apart from the estimates and cost they also will help you in choosing the best price for your new brand cars.

Related: Apply for Auto Insurance in UAE

Proceed below to check out some essential factors that are being the main reasons for making your final premium car insurances.

Drivers driving experience and Age:

Everyone in Dubai knows the fact that Age plays an essential role in the calculation of premium car insurance rates. A new and expensive car need proper care and protection, and therefore it’s necessary you get Comprehensive coverage’s for your vehicle without fail.

A new car will be expensive to replace or repair when there are any damages to them. In this case getting a comprehensive coverage means you are not needed for paying anything from your pocket, this does not mean that you are asked for higher premium rates for a newly brought car as human beings tend to be more careful when they drive a new vehicle.

There is third party liability cover with minimal properties to protect your second hand or older cars, and therefore this makes your premium lighter.

Related: Car Insurance Rates by Age.

Your Car Feature and Type

Whether you have the older car or else adapted to the latest roadster, the car features and type you have chosen brings a significant role on the premium car insurance rates in UAE. Sports, Luxury or any other related expensive cars will lead to an inexorable price when you repair or replace them as they are found to be rare and have high rates for their spare parts.

The faster acceleration in new and higher performing cars can lead to severe accidents and provide a high-cost premium insurance rates. Apart from that insurance agents will take car ratings, safety features of the vehicles, models and other car specifications to calculate your premium car insurance rates.

Related: 21 Cool for buying and Maintaining your car

Deductible or Excess

The amount of money that you agree to spend from your pocket during any accidents that are caused by you is considered to be the deductible or excess part. If you are ready to pay the excess price, then your premium rates will be lower, in some cases excess means the fixed amount in whatever damage or situation.

Agency or Non-Agency Repairs

If your car dealership does the repairs then its derived as the Agency repairs whereas if an external garage mechanic does the repairs, then its referred to as the non agency repairs, this can be accredited by your insurance company. Agency repairs can be included in your existing policy or else can be added to your insurance policy, but you will be asked to pay the additional cost for them.

Other Optional Features

For other optional benefits or add-ons, you will have to add your existing policy, and you will be charged a certain fixed amount for each of the add-ons or features like the international cover, off-road cover, car hire, roadside existence, etc. You need to be very careful to consider all of the above features when picking your insurance policy from the insurers, and they may vary depending on your lifestyle.

How to Estimate your Car Insurance Costs?

Here are some of the basic formula to calculate your car insurance rates in UAE.

● Value of your car < AED 100,000 – Base starting rate is 3.25%.

● Value of your vehicle is less than AED 3000,000 and greater than AED 100,000 – Base starting rate is 3%.

● Value of your car > AED 300,000 and less than a million – Base starting rate is 2.75%

Now apply a few surcharges or discounts as indicated below.

● Age between 23 and 25 – add 25%

● Age between 25 and 30 – add 15%

● Age more than 30 and less than 60 – Subtract 10%

● Drivers License less than a year old – add 25%

● Your car is SUV or any 4 Wheel drive – Subtract 10%

● You have a new brand car – subtract 10%

● Your car is a sports or couple car – add 20%

● Your vehicle is registered in the Northern Emirates or Abu Dubai instead of Dubai – add 5%

● Do you need to get the cover for the personal accident for the driver – add AED 120

● Do you need to get the cover for the personal accident for the Passenger – add AED 30 per person

● Your car > 3 and five years old along with your wish to have an agency repair – add 30%

● For Rental Car Benefit – Add AED 150.

 You are claims free and if you need to prove it then subtract

● One year no claims certificate – 5%

● Two years no claims certificate – 10%

● Three years no claims certificate – 15%

● Four years no claims certificate – 20%

● Five years no claims certificate – 25%

Related: A Complete Guide to Car Insurance in UAE

Dubai Mortgage for Non Residents in UAE

0
Dubai Mortgage for non residents
Request a Call Back

Find The Best Mortgage, Home Loan In Just A Few Simple Steps!

*
*

This blog is a complete guide on Dubai Mortgage for Non Residents in UAE.

Are you a Non-resident searching for the best property to purchase in UAE? If so, this guide will let you know about the things you need to know before you explore the search.

The number of non- residents people across the world have started investing in buying villas and apartments in the UAE, some of the people prefer tax free capital gains, some others looking for lifestyle investments and few other needs tax free rental yields that can reach about 10% primarily on the smaller apartments.

UAE Market have seen both ups and downs in the real estates, there was a recent change occurred in the UAE regulations and this has made non-residents people to overseas purchasers and has brought a significant impact on their industry.

Banner Mortgage UAE

What places can Non-Residents Purchase in the UAE?

They can be classified into three regions namely Abu Dhabi, Dubai, and The Northern Emirates.

Abu Dhabi:

Non-GCC National people means the one who is not from Kuwait, Bahrain, UAE, Oman, Qatar and Kingdom of Saudi Arabia is capable of getting freehold and leasehold property in specific investment zones around the Abu Dhabi which includes Reem island, Yas Island, Al Reef Village, Raha Beach, Saadiyat Island and much more.

Dubai:

If you are a foreigner and not a person who currently lives in UAE, then Dubai law states that you are capable of purchasing a freehold property in any of the twenty-three freehold areas namely Emirates Hills, Al Barsha South, Dubai Marina, Sheikh Zayed Road, Palm Jebel Ali, Palm Jumeirah and much more. You can also get from any of the leasehold properties.

The Northern Emirates:

Non-residents can purchase both leasehold and freehold properties in Umm al Quwain, Sharjah, Ras Al Khaimah, and Ajman, and you can buy most of the property as the leasehold basis.

Is it possible to get a Mortgage to buy UAE Property as a UAE Non-Resident?

Yes but with restriction! Non-UAE residents are provided rights to buy a mortgage from the UAE lenders with few limits, the UAE Mortgage Cap law needs the Non-UAE people to have down payment cash of 25% of the property value added to the cost of purchase, this is 20% of UAE nationals.

The price may increase to 35% added to the property cost if it goes above AED 5 million, whereas it’s 30% for the nationals of UAE. In the case of getting a second or third property then you need 40% as a down payment cost added to the value of the property.

Related: How to Buy a Home in Dubai with a monthly salary of 10,000 Dirhams.

Down Payment Cost Requirements for Non-Resident and Expats (Non-UAE Nationals)

● If your purchase type is first property and the purchase price is below AED 5 million, then your minimum down payment is 20%, and maximum loan to value ratio (LTV) is 75%.

● If your purchase type is first property and the purchase price is over AED 5 million, then your minimum down payment is 35%, and maximum loan to value ratio (LTV) is 65%.

● If your purchase type is second or third property and the purchase price is any cost, then your minimum down payment is 40%, and maximum loan to value ratio (LTV) is 60%.

● If your purchase type is under construction or off plan and the purchase price is any cost, then your minimum down payment is 50%, and maximum loan to value ratio (LTV) is 50%.

Few steps Non-resident can follow while purchasing a Property in UAE.

Follow the below steps before you purchase a property in UAE as an expat or foreigner.

● Explore what property type you are going to purchase, apartment or villa, commercial space or land or a plot.

● Research in-depth for the available properties online.

● Contact a developer directly or real estate agent or familiar person to know the details of the properties thoroughly.

● Make sure whether nonresident people have the right to purchase the land, you need to have a steady salary as well as should be legal to live in the UAE.

● Choose the right property after checking every document wholly and then pay your deposit.

● You can purchase a home loan or mortgage from any famous, reputed or trustworthy financial institution.

● Transfer deeds and pay the land registry tax correctly.

Related: Compare and Apply for Mortgages in UAE

Fees and Taxes you need to pay

● Abu Dhabi Transfer Fee – 1% to 2%.
● Dubai Land Department Transfer Fee – 4% added to the 540 AED administrative fee.
● Registration Fees – 2000 AED added to the property below 500,000 AED.
● Mortgage Registration Fee- 0.25% of loan + AED 10 fee.
● Registration Fees Cont – AED 4,000 for property above AED 500,000.
● Mortgage Processing Fee- Up to 1% of loan amount.
● Valuation Fee – AED 2,500 to AED 3,500.
● Conveyancing fees (where appropriate) – AED 6,000 to AED 10000.
● Estate Agency Fee – 2% of purchase fee.
● Downpayment – 25% of property cost.
● Oqood fee, for off-plan properties – 4% of purchase price.

Documents needed for getting a Mortgage in the UAE

Most banks will ask for the credit reports from the resident country, liabilities details including loans, credit cards, one-year bank statements and an entire heap of documents.

You require a scanned copy of passport, last three months bank statements justifying that you are working in the present company. There are no requirements for credit check documentation, no liability letters or employment proof.

You also need to attend mortgage offer letter in Dubai at some specific stage of the process, and this cannot be neglected as its mandatory at the final step of purchasing at the DLD (Dubai Land Department).

It would be better if you also made sure about the additional cost included in the transaction of property such as the realtors commission, property valuation free, registering fees, the land department transfer fee and much more.

Are you interested in buying a property in UAE? To live yourself or whether as an investment or need any guidance on the UAE Mortgages? If so, you can request a free consultation with us.

You can use our contact form from our website and then submit your complete details, once we receive the request we will provide a team member from our side to give the consultation with you at some time and date.

Compare4Benefit Contributor GuideLines

0
Blogging Guidelines

2019 Update : Kindly read carefully to get approval for your guest post.

To become a regular contributor at Money Clinic, here are some tips that will help you to get your article accepted and published.

  • We’re looking for unique and original ideas.
  • Articles must be original and exclusive to Compare4Benefit.com
  • You cannot accept payment for mentioning a person or business in an article.
  • Write content that is solely focused on quality and adding value for readers.

Here are few of the categories that we accepted articles from

  • Money Saving Tips
  • Finance
  • Real Estate
  • Home Buying Guides
  • Investment
  • Car News and Trends.

A few things to remember before submitting your guest post:

  • Length: Articles should be a minimum of 600 words and should cover the topic in detail.
  • Topics: Our content educates and motivates. Our editors are looking for articles that inspire, give insight into current trends and offer actionable takeaway tips.
  • Proof your article. Sloppy work won’t be accepted by our editors. If your piece is riddled with typos and/or factual errors, it will not be accepted.
  • Submit original work. Work you didn’t write is not acceptable. Warmed over posts (something you published previously with just a few new tweaks added) are also unacceptable.
  • Make sure your blog isn’t overly self-promotional : Mentions of your company, should be used to demonstrate your expertise on a topic. The effect should serve to educate, not advertise. Excessive links to your products or initiatives will likely be deleted. (Two to three links are fine. 10 are not.)

Contribute your post to Compare4Benefit

If you have read and understood all of the guidelines mentioned above, here is how you can submit the article.

Email 

admin[at]compare4benefit.com with following:

Sub: Guest posting at Compare4Benefit.com

In body mentioned the Suggested titles and outline.

Will, there be any backlink to a website, let me know that as well.

If you have any queries regarding guest posting at Compare4Benefit, do let us know via the contact form.

 

 

Car Insurance in Dubai and UAE – Compare4Benefit

0
UAE Car Insurance Guide
Get Car Insurance Quotes

This blog is a complete guide on Car Insurance in UAE.

What is car insurance?

The car insurance is a type of insurance, which takes care of your car-your prized possession.

It is a plan which takes care of all expenses incurred due to unforeseen events like third-party liability, mishaps, accidents, thefts and other such.

Using this plan, you can protect your car and yourself from financial contingencies and legal liabilities, resulting from a traffic collision, bodily injury and physical damages to yourself, a third party or the vehicles involved in such collisions.

Insurance is an agreement by which an insurance provider guarantees to provide a pre-decided compensation in case of specified damage, losses or death in exchange for a premium.

Car insurance is an auto-insurance plan which is formulated to ensure that the occupants of the car do not suffer any financial setbacks. The policy also provides assistance in event of a road mishap.

car insurance UAE

Benefits of Car Insurance in UAE

Having car insurance in UAE offers the following benefits:

  • Most insurance companies provide services of car registration to policyholders which are otherwise, a tedious task.
  • In case of theft of the car, the insurer will reimburse the value of the car.
  • Car insurance in UAE also covers any damage or loss arising due to the accidental collision on the road with another car, animal or objects like buildings or pillars.
  • Any loss due to natural calamities, manmade events (violence, arson) is also covered.

Types Of Car Insurance in UAE

In the UAE, there are two main types of car insurance policies: Comprehensive and Third Party Insurance.

  • Third Party Liability Car Insurance

Every car owner is required by law to possess this type of insurance cover.

It is the most basic type of cover and provides protection against any third party property damage or bodily injury, caused by the insured vehicle.

But this cover will not compensate for damages to the policy holder’s vehicle or any theft or damage caused to it.

Any person who is purchasing third party insurance must be ready to meet the repair expenses on his own, caused by the accident. Thus this plan has a lower premium than other covers.

  • Comprehensive Cover

This insurance cover protects vehicles from all damages resulting from theft or repairs and also covers third party liability. Typically, it covers the following as basic and add-ons:

    • Loss or damage to your vehicle: Cover for the insured car caused by loss or damage in an accident.
  • Medical expenses: In case of an accident, by the insurer’s car, medical treatment will be offered up to a specific amount, mentioned in the policy.
  • Third-party property damage: Cover for damage to property and materials of a third party caused by an accident. This includes a massive cover-up to AED 5 million.
  • Personal accident cover for drivers/passengers: Cover for driver and passengers of the car who were injured or suffered a fatality in the accident.
  • Onsite repair: In case insured car breaks down on the road, the insurance company will recompense the cost of repair.
  • Agency repair: The policyholder can get a car repaired at authorized dealers of manufacturers, within UAE premises.
  • Towing services: In case, the insured vehicle breaks down or has an accident; the insured will get transport or towing assistance to the nearest workshop.
  • Extraction and removal: Crane assistance is offered to extract or remove the insured car from the place of incident in case of breakdown or accident.
  • Leaking or flat tire assistance: the insurance company will offer assistance to replace or remove the tire, without any labour charges.
  • Unlocking of ignition key: Roadside help is provided to unlock the car in the situation where keys have been accidentally locked inside.
  • Refueling: Fuel assistance is offered when the vehicle runs out of fuel while running on the road.
  • Valet and car hire service: Policy offers options to hire a car along with valet service after the accident, and while the car, is being repaired. The miles, amount, and duration vary from policy to policy.
  • Free pickup and drop: Some insurance companies provide free pickup and drop services to the airport.
  • Emergency accommodation services: Expenses for emergency accommodation are offered if the vehicle is immobilized due to accidental damage.
  • Outside UAE cover: Cover includes damage or loss due to your insured vehicle applicable to all GCC (Gulf Cooperation Council) countries.
  • Roadside assistance: Get 24-hour accident and emergency breakdown car recovery service in the UAE.
  • Personal belongings: Cover will be provided in case of any damage to or theft of the personal belongings of the insurer due to the accident.
  • Natural disasters: Cover is offered for accidental loss or damage to the insured vehicle due to natural disasters like storms, earthquakes, floods, etc.
  • Windscreen repair: covers the expenses to replace or repair windshields in case of accidental damage or loss caused. Otherwise, this is a major expense in case of luxury and sports cars.
  • Emergency medical cover: Some insurance companies offer to policyholders, the facility of availing emergency medical charges up to AED 3500.

 

Exclusions of Car Insurance

Car Insurance in UAE will cease to exist in the following circumstances:

  • Driving without a valid license: In case, the driver drives without a valid license, the car insurance cannot be claimed.
  • Driving Under Influence: In case, the driver has been driving under the influence of intoxicants (drugs or alcohol) and meets with an accident, insurance cannot be claimed.
  • Overloading: In case, the insured vehicle was overloaded or encumbered with excess capacity, any accident insurance will not be provided.
  • Misleading information: In case, misleading or false information is offered to the insurance company at the time of purchase of an insurance plan, insurance claims cannot be pressed.
  • Intentional damage: In case accident was staged or damage was intentionally or deliberately applied, the insurance cannot be claimed.
  • Unethical use of a vehicle: This is the case when the vehicle is used for purposes other than stated in the insurance policy and insurance will be denied.
  • Claims filed after 3 years: Car insurance claims will not be allowed after 3 years since the accident.

Importance of Car Insurance

In the last few years, vehicle insurance in the UAE has witnessed remarkable growth. Auto-insurance industry has contributed to the economic boom and has made the UAE, a financial hub. Now that there are more vehicles on the road, the demand for motor-insurance in the UAE is growing exponentially. Therefore, the number of car insurance providers in the UAE has boomed. For instance, in the last five years, Abu Dhabi witnessed a 700% growth in a number of automobiles.

One can spot the fastest, swankiest and most luxurious cars of the world in Dubai streets. This makes it worthwhile to have car insurance in the UAE. The demand for car insurance in Dubai is on the rise. As car sales multiply over the roof, the risk of road accidents has boomed. This imposes a threat to the lives of pedestrians, fellow car drivers and car owners. A comprehensive insurance plan takes care of your financial safety, even in the worst case scenarios. Also, local laws in UAE find it mandatory for vehicle owners to purchase motor-insurance for their vehicles. Vehicle owners who do not purchase motor insurance for their vehicles are likely to be penalized.

How to Select the Best Plan?

People often wonder how to choose the best car insurance plan in the UAE. Some answer that it is as simple as buying clothes. There are so many insurance companies that offer a variety of plans. Because of this huge number of insurance companies, you can get motor insurance at competitive prices. You can exploit the cut-throat competition among providers of insurance. Every insurance provider aims to earn the trust of insurance customers so that it can get a wider share of the burgeoning car insurance market.

The following are the tips to select the best plan:

  • Consider expectations and needs: When you are clear in mind about what exactly you want, it becomes easier to determine whether a plan fulfils your car expectations or not.
  • Reliability and reputation of insurance company: The reputation of an insurance company helps you know the treatment it will provide for your claims. Also, the financial health of an insurer is the second most crucial factor because it reflects the financial status of the preferred insurance provider.
  • Comparison of prices and plans: If you wish to enjoy the best insurance coverage at the least possible premiums, avoid buying the first plan you come across. Compare online various plans for car insurance in UAE and pick one that meets your needs without burning your pocket. For doing an online comparison of policies in UAE, you can take the help of an insurance web-aggregator. A web aggregator does a comparison of various plans offered by different insurance companies and offers the best plan as per the needs of the insured.
  • Weigh the insurance coverage: When you target a policy, you need to consider sufficient insurance coverage. Buying insufficient coverage is worse than not buying any coverage. Take care that the plan that suits your colleague may not suit you. A better idea is to weigh and compare car insurance coverage and consider whether it meets your expectations.
  • Keep ready documents: For buying or renewing your car insurance, you will have to keep ready following documents – Personal details, Car details, Car registration details, Certificate for car modification (if any), No-claims discount certificate (if applicable), UAE resident certificate, copy of passport, copy of UAE visa, valid UAE drivers’ license.
  • Avail of No-claim bonus: This bonus is a discount offered by the insurance provider to the policyholder for not making any claims in the preceding years. You can avail NCB while the policy is being renewed. While changing the car insurance policy from one insurance company to another, the previous insurance company will provide a no-claim bonus certificate to the insured. This certificate can be offered to the new insurance company, so as to avail of the same benefits. NCB is a discount earned by the policyholder for maintaining a claim-free record. Also, it is regarded as one of the best ways to reduce your car insurance premium. The insured person can claim nearly 20% deduction on the premium, based on a number of claim-free years. But the percentage of discount can vary from one insurance provider to another. Point to note is that NCB is applicable only to comprehensive policy and not to third party liability.

How to Determine the Premium

The overall rate of your car premium is impacted by certain vital factors:

  • Age of car and driving experience

All in UAE know that the age of the car plays an important role in the calculation of premium rates of car insurance. An expensive and new car needs proper protection and care, and it is vital to get comprehensive coverage for your car without fail. In case a new car faces damage and repair, it will prove to be very costly. Thus if you go in for a comprehensive cover, you may not have to spend anything from your pocket. For older cars, third-party liability will be sufficient, and thus, less premium will have to be paid.

  • Your Car Type and Features

Whether you have an old model or the latest roadster, the type and features of your car which you have selected provide a substantial role in the premium car insurance rates in UAE. Expensive cars like a sports car or luxury car will lead to heavy expenses when you replace or repair them as they are found to be rare and cost much for their spare parts. Ratings of cars and their safety features of models are all factors determining the calculation of premiums.

  • Excess or Deductibles

In case, you are willing to contribute money for damages in case of a car accident caused by you; it is calculated as an excess or deductible. If you are ready to pay the excess price, your premium rates will be lower. In some cases, excess refers to the fixed amount in whatever situation or damage.

  • Non-Agency or Agency Repairs

In case your car agency or dealership does the repairs it is called agency repairs. If an external garage mechanic performs the repairs, it is referred to as non-agency repairs. This can be accredited by your insurance company. Agency repairs can be included in your policy or can be added, but you will have to bear the extra cost.

  • Optional Features

For getting other add-ons, you will be charged extra for each add-on like car hire, off-road cover, international cover, roadside assistance, etc. You need to be very careful to consider all the above features while picking your insurance policy from insurers and they may differ based on your lifestyle.

In sum, you can opt for the best policy by comparing prices and features using online sites like Compare 4 Benefit.

Best Companies for Car Insurance in UAE

Following are the best companies in UAE offering car insurance:

  1. Salama Islamic Arab Insurance Company

It aspires to be the topmost insurance company by providing customized and innovative Takaful car insurance plans.

This company strictly adheres to Shariah principles while conducting their business.

It focuses on customers and aims to provide quality service, as defined by international standards. Guided by principles of honesty and fairness, it follows an ethical path.

  • Oriental Insurance

It is one of the major players in the Indian General Insurance market. During the last 65 years, it has expanded globally and is operating in UAE. In collaboration with Armab Insurance Works LLC, this company also operates in the GCC. Today, it has become one of the leading providers of car insurance in the UAE.

  • Adamjee Insurance Co. Ltd.

It is one of the top insurance companies in Pakistan. It has registered in the UAE market and is committed to offering the best car insurance in the UAE. It has earned the trust of many insurance buyers in the UAE by providing best car insurance plans.

  • Union Car Insurance

Set up in 1998 and is listed on the Security Exchanges of Abu Dhabi. It is a trusted car insurance provider, which provides an option for customized insurance packages.

  • Watania Insurance

It has been providing excellent coverage against car damages, since 2011. The company was the result of a tie-up of Abu Dhabi National Energy Company, Abu Dhabi National Insurance company, Aldar Properties and Abu Dhabi National Islamic Finance. In 2014, there was a shake-up in ownership.

  • Method of Claiming Insurance

Your claim can get rejected if you do not follow the right claiming procedure. You need to adhere to the following claims procedure for claims success:

Step 1

You must get in touch with the car insurance provider as fast as you can.

Step 2

You must co-operate and offer complete information like policy number, full name, policy duration, time & date of accident, a copy of driver’s license and license plate number as well as contact information of concerned parties.

Step 3

Go to the nearby police station and lodge a formal complaint. Ensure that you get a copy of the complaint as it is required by some insurance companies.

Step 4

After you have informed your auto-insurance provider, a professional will be assigned to your case for evaluation. The surveyor will assess your case and examine and inspect your vehicle, such that your claim can be duly processed.

Step 5

Your case will be resolved by the professional based on your opted plan and its coverage.

In sum, these are all some facts about car insurance in UAE.

 

 

Car Insurance is one of the mandatory options in UAE, so everyone has to select an insurance policy based on their requirements for the purpose of protection and security. Choosing the best and suitable car insurance policy in UAE is tedious as there are multiple options available with the best benefits.

You should always ask yourself specific questions like what is the best car insurance policy available?, Which would be the best car insurance for their needs?, What benefits the needed insurance policy should cover? , Which type of car insurance you need to choose, cheapest or the trendier one? etc to pick the right car insurance policy for you.

Synopsis

    • Purpose of a Car Insurance In UAE
    • Types of Car Insurance in UAE
    • Other Add-Ons to Focus to enhance your Premium
    • Annual Premiums to focus while getting your car insurance policy.
    • Documents Required

Purpose of  Car Insurance in UAE

In UAE, every vehicle should own a Car Insurance cover in order to protect your car from any accidents or natural calamities, in this case, you will be paid for any defects occurred by the insurance company as per your chosen insurance rules and regulations.

Types of Car Insurance in UAE

You can choose the preferred types based on two crucial aspects namely your basic requirements and the risk capacity. The provisions indicate your wish of benefits that your insurance policy should cover.

The possibilities of defects and damages to be high or low determines the risk capacity so you should be aware of the answers to choose the right type of insurance.

Proceed below to find the detailed explanations of each car insurance types.

Comprehensive Insurance:

As per the name, the policy will provide the vast range of protection to your vehicle, the set of benefits includes

Covers the defects caused by yourself or any third parties occurred due to an accident or other issues.
Covers the damage caused to your vehicle during any fire, vandalism or theft.

The insurance of this type will cover all damages for any parties, and therefore most of them stick to go for the car insurance policy.

TPL (Third Party Liability) Insurance

The TPL insurance policy Insurance cover is a limited one, and this will work out only if you have damaged other people vehicle, this policy does not provide any benefits for your car if they defect in an accident or other issues.

If an accident happened without your fault, then you need to check out whether the opposite party has the TPL policy covered to pay for the damages caused for your vehicle.

The premium is low when compared to the comprehensive policy as the insurance cover is limited, most of the beginners prefer this insurance as they are affordable without knowing it’s a blunder mistake.

Other Add-Ons to Focus to enhance your Premium

Here are some of the additional add-ons you need to know before choosing an insurance policy cover. The following Add-ons will be a significant aspect of increasing your premium.

GCC Coverage: If you are the one who often travels to nearby GCC nations then you definitely need a more comprehensive insurance cover plan registered as few countries like Oman will never leave you inside their place until you have a standard GCC or International Insurance with you.

Roadside Assistance: This is one of the best insurance covers everyone should adopt as this plan offers you a towing service or a mechanic when your vehicle stops without fuel or gets break down in an important trip or journey.

Car Rental: Some policies help in covering the cost of your vehicle when it’s left to rent if you have put over them in the workshop.

Agency Repair: Your car will run in good condition if it’s serviced and repaired from an official and authenticated dealer rather than from a local car mechanic shop so make sure you have this option covered in your car insurance policy.

The passenger, Personal, Personal Belongings Accident Cover: In the case of death or any other life-threatening issues or if your personal belongings have been stolen, and these cover will cover the cost of the damages occurred.

Apart from the above Add-ons, there are also some of the essential add-ons you need to look namely Storm, Fire or Tempest Cover, Alternative or Rental Vehicle Covers etc.

It’s good that everyone has all these benefits covered by your car insurance policy.

Annual premiums to focus while getting your car insurance policy
Once you have selected the type of insurance policy you need to focus on the premium you need to pay annually, here are some of the factors you need to consider for getting an exceptional deal when calculating an annual premium. In this, you need to pay a certain amount to the Insurance Agency for getting the damage and injuries covered over your policy.

Here are some of the answers for the questions to check out while picking your annual premium in an insurance policy.

The validity of your Insurance Policy

Unlike other Countries, UAE provides the insurance policy for 13 months instead of 12 months, and this extra one month is considered to be the period for re-registering your car by the Road Transport Authority.

How will be your Premium Insurance Policy Calculated?

Premium is something you are paying to your vehicle insurance agency to protect your car from any defects and other issues, i.e. to keep insured for 13 months, this cost factor depends on various impacts like the model of your vehicle, cost of your car, your age, your experience on driving, your license, the car manufacturer, car specifications and much more.

You need to pay an extra amount as the premium if you are less than 30 years old, if you have a record of prone driving or if you have a three years old exclusive car model.

The below table will provide a clear-cut idea regarding the Insurance Premiums.

Aspects Insurance Premium in terms of Low or High
The Age of the applicant is less than 30 years High Premium
New Model Car with all essential Safety Factors Low Premium
Off-Road Insurance Coverage High Premium
GCC Coverage High Premium
The applicant with less driving experience High Premium
Breakdown Coverage High Premium
The price of the vehicle is costly High Premium
Perfect Driving License with no prone to accidents Low Premium

 

How to lower your Premium?

There are certain things you can perform to keep the insurance premium within your budget.

Going for a ‘No Claim’ Certificate: The certificate means that your car has not faced any accident in the past years, which means you are going to get the discount when you renew your insurance policy.

Opting for Essential Add-Ons: You need to make sure whether you are in need of any other vital add-ons before claiming the insurance, if you think they are not mandatory then you can skip them.

For example, if you are the person who only travels within your country, then you will not need a GCC Policy covered on your car insurance.

If you are ready to Pay Extra Fees: If you agree to pay the fees for the accident that is caused by you, then you can lower the annual premium. The higher the amount you agree to pay means lesser the annual premium amount.

In Short,

● You need to compare the premiums three to five times before you grab them yours.
● Keeping a clean record on your driving experience.
● Going for a reliable, authenticated and trusted garages rather than sticking with the local mechanical car shops.
● Choosing the best and needed Add-Ons.
● Calculating the right estimated value of your car and the premium insurance.

Related: 5 Tips to find the new car insurance policy in UAE

How to Buy the Car Insurance Policy?

You can get your vehicle car insurance policy from any of the UAE Road Transport Authority Renewal Centers, the other way for purchasing the premium is by contacting the leading Car Insurance Agencies and ask them for a quote.

The Insurance agency will ask you for the following documents and the annual premium fees for providing the car insurance policy.

● A copy of your ID card (Emirates)
● A copy of the car Registrations Documents
● No claim Certificate if its applicable for your policy.
● A Copy of your license(Driving).

As an end, choosing the right type of car insurance policy can be simple if you are legitimately following the above ideas. You just need to balance everything with your budget and the safety coverage types while opting for the best car insurance in UAE.

Another important point is to compare the maximum car insurance available with your needed benefits before opting for your vehicle insurance policy, and this will definitely help in choosing the legitimate insurance car cover for you.

Best No Annual Fee Credit Cards in UAE 2019 | Compare4Benefit

0
Credit cards free for life
Request a Call From the Credit Card Consultant

Find  Best Credit Cards In Just A Few Simple Steps!

*

Looking for No Annual Fee Credit Cards in UAE ?

Then you’re in the right place.

While plethora of  luxury credit cards in UAE charge an annual fee, there is a vast array of top tier credit cards that offer ample rewards without an annual fee.

In fact, these include some of the best credit cards around.

No Annual Fee Credit card

Summary of No Annual Fee Credit cards in UAE

The table shows a basic summary and comparison of different credit cards in UAE.

Credit cards

Card Feature

Minimum Salary Requirement

Apply Credit card

Citi Bank Simplicity Credit cardNo late fee and over limit fee.
No cash advance fee.
20% offers on selected restaurants.
Unlimited access to selected airport lounges in the Middle East
5000 AEDApply Now
CBD Visa Infinite CardUnlimited Airport Lounge Access.
Free Travel Insurance
50% discounts on VOX tickets online.
30,000 AEDApply Now
CBD Visa Platinum Credit CardRedeem points for Skywards miles.
Discounts on movie tickets.
Discounts on AVIS car rentals.
8000 AEDApply Now
CBD eTijari Web Card Used only for internet transactions.
Facility to set your own credit limit.
8000 AEDApply Now
ADIB Value Plus CardUp to 25% discount on dining.
Get rewards on your domestic & international spends.
Enjoy up to 25% discount on dining across the UAE.
5000 AEDApply Now
Noor Bank Priority World Credit cardEach 2 points (2% of spend) for every AED 1 you spend on your credit card.
Airport pick up & drop off 12 times a year.
Free golf for 2 people at Arabian Ranches Golf Club Dubai.
35,000 AEDApply Now
Najm Platinum Cashback Credit CardExclusive offers and dedicated checkout counters at Carrefour.
Monthly cashback savings up to AED 200.
30% discount on dining.
7,000 AEDApply Now

List of No Annual Fee Credit Cards In UAE

Here are some of the best collection of credit cards that offers maximum benefits for their customers with no annual fee.

1. Citibank Simplicity Credit Card:

No Annual Fee Citibank

Card Description :

CitiCashback Credit cardThe Citibank Simplicity Credit Card has proven to be the stand-out all round no annual fee credit card in UAE 2017, and is maintaining it’s popularity in 2018.

It is basically a free for life & low interest credit card which offers an interest rate of 3.5 % of the outstanding amount with up to a 51 day interest free period.

If you are that forgetful type who tends to run late on payments, then don’t worry..

There is no late time fee ever for this simplicity card.

Main Features of Citibank Simplicity Credit Card

✔  No Late Time Fee   – Ever

✔  No Over Limit Fee  – Ever

✔  No Annual Fee – Ever

✔   No Cash Advance Fee – Ever

✔   Minimum Salary Required is 5000 AED.

Benefits of Citibank Simplicity Credit Card:

  • Shopping and Dining Credit Card.
  • Unlimited lounge access in selected airport lounges across the Middle East.
  • Complimentary Travel Insurance and Purchase Protection.
  • Get hundreds of Buy 1 Get 1 free offers across hotels, dining, spas, leisure & entertainment in cities throughout the Middle East & Africa.

 Click here to Apply for Citibank Simplicity Credit Card.


 

2. CBD Visa Infinite Card:

cbd infinite no annual fee card

CBD Visa infinite credit card

Card Description :

The CBD Visa Infinite Credit Card is a great option for those who want to take advantage of balance transfer and are averse of paying an annual fee.

The main advantage of this credit card is that it can act  both as a low balance transfer card and as a cashback rewards card all in one. This Credit card is great to redeem reward points for skyward air miles.

Major Features of  CBD Visa Infinite Credit Card

✔  Conventional Balance Transfer Credit Card.

✔  Interest rate on this card is 2.99%.

✔  Earn Attijari Points for all your purchases and you can redeem for cashback.

✔  Attijari points can be converted for Skywards Miles.

✔   Minimum Salary Required is 30,000 AED.

Benefits of  CBD Visa Infinite Credit Card

  • Unlimited access to VIP lounges globally.
  • Concierge service available at airports with this card.
  • Avail airport dining discount program with dragon pass.
  • Free Valtrans valet parking at different locations in UAE.
  • Earn 2.5 Attijari points on international spends , 2 points on local spends, 1 point for groceries and supermarkets.
  • 50% discount on VOX Cinema tickets. (T&C Apply).
  • Get discounts on dining, shopping and travel.

Click Here to Apply for CBD Visa Infinite Credit card


3. CBD Visa Platinum card

visa platinum no annual fee

Card Description:

credit card - cbd visa platinum

The CBD Visa Platinum Card ticks off all the boxes of a great balance transfer credit card.

Plus, the card has no annual fee, a low interest rate of 2.99% as well as cashback on purchases.

 

Major Features of  CBD Visa Platinum Credit Card

✔  Zero Balance Transfer offers.

✔  Interest rate on this card is 2.99 %.

✔  Discounts with Agoda.

✔  Redeem points for Skywards miles or cashback.

✔   Minimum Salary Required is 8000 AED.

Benefits of CBD Visa Platinum Credit Card

  • Attijari points can be converted for Emirates Skywards or Etihad Guest Miles.
  • Repayment period of 52 days.
  • Attijari Points Rewards Program – earn up to 2.5 points for every Dirham spent.
  • Get Airport Dining Discount Program with Dragon Pass.
  • Offers free multi-trip travel insurance

Click here to Apply for CBD Visa Platinum Credit Card. 


4. ADIB value plus card

 

adib no fee annual

 

ADIB Visa Credit Card

Card Description :

The ADIB Value Plus Card could be the one worth considering , if you’re looking for a card that will give you valuable cash rewards on every purchase.

Earn reward points while you spend and enjoy the flexibility of converting them into shopping or dining vouchers, airline tickets and more.

Main Features of ADIB Value Plus Card

✔  An Islamic Credit Card with low salary requirement.

✔  Interest rate on this card is 3.09%.

✔  Get rewarded for local and international spend

✔   Minimum Salary Required is 5000 AED.

 Benefits of ADIB Value Plus Card:

  • Access to airport lounges across GCC/MENA Region.
  • Get up to 25% discount on select dining outlets across the UAE.
  • ADIB Reward Points can be redeemed for airline tickets.
  • Earn 1 reward point for 1 AED on domestic spend & 2 reward points for every 1 AED on international spend.
  • Facilities like Road side assistance.
  • You can redeem points for shopping vouchers.

    Click Here to Apply For ADIB Value Plus Credit Card


 

5. Noor Bank Priority World Credit Card

 

Noor Card

Noor Credit Card

Card Description:

The Noor Bank Priority World Credit Card has been designed with UAE golfers in mind.

If you’re a frequent golfer, you may be able to reap some rewards for doing what you love.

Main Features of Noor Bank Priority World Credit Card

✔ This card is an Islamic Card.

✔ Free Access to Premium Gyms (T&C Apply).

✔ Free Golf for two people (T&C Apply).

 Balance Transfer and Credit shield facilities.

✔ Minimum Salary Requirement is 35,000 AED.

Benefits of Noor Bank Priority World Credit Card

  • Free access to selected gyms in Dubai and Abu Dhabi.
  • Get 6 free valet parking services per month at selected locations.
  • Unlimited Airport lounges access around the world.
  • Airport pick up and drop off (6 times a year).
  • Marhaba meet and greet services.
  • For every Dirham you spend on your credit card, you earn 1.5% cashback on domestic spends and 2% cashback on International Spends

Click Here to Apply for Noor Bank Priority World Credit card


 

6. Najm Platinum Cashback Credit Card

 

NAJM ANNUAL FEE NO

Najm Platinum Credit card uae

 Card Description  :

The Najm Platinum Cashback Credit Card is designed for saving money on groceries.

You can maximize your savings with this card and get exclusive category discounts and offers at Carrefour.

Main Features of Najm Platinum Cashback Credit Card

✔ Free for Life Credit Card.

✔ Balance Transfer Facility.

✔ Monthly cashback savings of up to AED 200.

✔ Dedicated check-out counters at Carrefour.

✔ Visa Platinum Extended Warranty.

✔ Minimum Salary Requirement is 7000 AED.

Benefits of Najm Platinum Cashback Credit Card

  • 3% Cashback every Tuesday and 1.5 % everyday at Carrefour.
  • Free unlimited Valet Trolley at Carrefour.
  • Visa Platinum discounts on dining,shopping, travel & cinemas.
  • Visa Platinum Purchase Protection.
  • Weekly category discounts & exclusive offers at Carrefour.

Click here to Apply for Najm Platinum Cashback Credit card


How to Choose No Annual Fee Credit cards in UAE

There is no single best  “no annual fee credit card” as the cardholders have different expectations and requirements, here are some of the factors you can prefer while choosing them.

Fees: Consider other fees like foreign transaction, balance transfer fees, and more in a No annual fee credit card.

Rewards Rate: Choose the credit card that provides the higher value for each purchase and look for cashback offers.

Staying Power: Go with a credit card that favors long-term utility over short-term rewards, this is suitable if the cardholders prefer to hold the credit card for several years.

Sign up Bonus: Prefer no annual fee credit card that offers sign up bonus so that you can avail set of benefits with them.

Other Perks: Also check whether the no annual fee credit card has some other unique benefits like airport lounge access, discount on movie tickets etc.

Related: Best Cashback Credit cards in UAE 2018

Mortgages in Dubai and UAE – Complete Guide | Compare4Benefit

0
Mortgage Dubai UAE
Request a Call Back

Find The Best Mortgage, Home Loan In Just A Few Simple Steps!

*
*

This is the most Comprehensive step-by-step approach for applying and attaining a Mortgage in Dubai.

Most importantly, you’ll find all the details about Home Loans in UAE.

Let’s get started.

What is a Mortgage?

In short , A mortgage is a type of loan you obtain to pay the value of a property.

Generally, a mortgage for your residential property is called a home loan.

Commercial properties can include warehouses, office spaces and other properties used for commercial purposes.

When it comes to mortgage in Dubai, most procedures are similar to conventional banking; however, a few key factors do change.

So, you need to understand each aspect of finding and getting mortgage for your property in Dubai.

 

Dubai Mortgages

Compare Best Mortgages in Dubai 2019

BANKRATE OF INTERESTMINIMUM SALARYLOAN AMOUNT
Standard Chartered Mortgage One3.55% (reducing)10000 AED18 Million AED
RAKBANK Home in One3.24% (reducing)15000 AEDNo Limit
Emirates Islamic Manzili Home Finance3.19% (reducing)15000 AED20 Million AED
CBD Mortgage Loan for Expats3.64% (reducing)12000 AED (Salaried people);

20000 AED (Self-employed)
10 Million AED
United Arab Bank Home Finance for UAE National3.69% (reducing)15000 AED (Salaried people);

50000 AED (Self-employed)
10 Million AED

Getting a Mortgage in Dubai

If you decide to purchase a property in UAE, the best suggested destinations are Dubai and Abu Dhabi.

Between the two, Dubai is most popular for the availability of top-notch residential and commercial spaces.

The cost of these properties can seem a pressure on your current financial state. But don’t worry! You can get a mortgage to purchase your very new office or a new place to live.

And the good news is UAE Central bank removes 20% cap on real estate loans.

To successfully complete the process of getting a mortgage, you should understand all about the eligibility criteria, according to the guidelines of the UAE Central Bank.

UAE Nationals and Expats have to complete different eligibility criteria provided by the UAE Central Bank.  In our previous blog, we covered about expats guide to buying a property in UAE

An LTV value, which is also known as Loan to Value, is an overall loan value you get with respect to the property price.

There was a time before 2008 economic depression when candidates applied and obtained loans with very low and convenient down payments. This requirement used to go down to 5 percent as well. But post-depression period got introduced with new guidelines regarding mortgages and their down payments.

Down payment for a mortgage in Dubai

There are no exceptions when it comes to current down payment guidelines provided by the Central Bank in UAE.

All applicants have to contribute a payment portion.

Maximum LTV or Loan to Value to purchase a ready property:

For expatriates who want to purchase ready properties-

  • If the property value is 5 million in AED or below, the LTV stands 75%.
  • If the property value is more than 5 million in AED, the LTV stands 65%.
  • If you are buying a second investment property or a home, the LTV stands about 60%.

For example, a bank can offer about AED 750,000 for a property with 1 million value in AED, depending on the eligibility.

Similarly, a bank can offer about 3.25 million in AED for a property with 5 million price value in AED, depending on the eligibility.

For UAE nationals who want to purchase ready properties-

  • If the property value is 5 million in AED or below, the LTV stands 80%.
  • If the property value is more than 5 million in AED, the LTV stands 70%.
  • If you are buying a second investment property or a home, the LTV stands about 65%.
  • These LTV values are applicable to freehold as well as leasehold ready properties.

Maximum LTV or Loan to Value to purchase an off property:

The off plan properties have the same 50% of maximum LTV for both UAE nationals as well as expats.

 

Step-by-step approach to applying and attaining a mortgage in Dubai

At a single glance, applying and attaining a mortgage can seem daunting. But you can divide the process into different smaller steps and reduce stress.

Here is how you can do it:

Step #1: Choose your property

dubai property

There are many platforms online to find properties in UAE. You can select a few of many reputed sites to get their listing.

With the lists of properties, you will gain different options of ready properties and off plan properties.

However, ready properties are more popular among buyers. This way, a home or an office comes with all facilities and constructions.

So, you can move right away to utilize the property or get immediate rent. This allows you to start getting an appreciation of your invested capital.

At the same time, bank guidelines are stricter when it comes to off plan property mortgage.

Step #2: Get an agreement from the property seller

Mortgage Agreement Dubai

You can either purchase directly from a property developer or utilize the secondary market. In case of direct purchase, you need to get the sale contract from the developer.

To ease the process, you should consider a licensed broker or a reputed real estate agency to complete the property transaction.

In any case, your involvement in the contract creation matters the most. Know your rights and go through the contract with some help from a professional.

Sellers try to negotiate a higher down payment. You should include a skilled lawyer to structure the agreement in your favour.

Step #3: Calculate mortgage using Mortgage Calculator and find a list of best-suited mortgage options

Mortgage Calculator Dubai

After you have an agreement regarding the purchase price of the selected property, it is time to calculate mortgage.

You can use the Mortgage Calculator provided by Compare4Benefit. The calculator makes mortgage calculation a simple task:

Provide mortgage-related information

You already have your property price in AED.

Include that in the calculator along with the Finance amount you desire, the interest rate you expect and the years of repayment.

After entering all the required information, you can calculate your mortgage with a single push of a button.

 

Mortgage Calculator Working

The results provide mortgage repayment associated details.

The tool also provides bank charges as well as the charges required for land acquisition in UAE.

The calculator shows an amount you will have to pay with respect to the details you enter. This amount has to be convenient as per your financial condition.

Using the results of mortgage calculation, you can obtain a list of best-suited options mortgage options available in UAE.

Compare4Benefit shows mortgage products with details regarding maximum terms, interest rate, required salary and more.

Step #4: Collect and review all the required documents

required documents mortgage

You can get professional mortgage assistance to review your documents. A professional ensures that you collect all the required documents.

This step is critically important to avoid unwanted delays during the approval process conducted by the bank.

Documents Requirement For a Salaried Employee:

  • A copy of valid passport.
  • Expatriates need a valid visa.
  • A valid Emirates identification.
  • Latest certificate of salary.
  • Bank statements with salary credits for the latest 6 months. Provide justification in case you don’t have any salary credits.
  • Disclosure of every monthly liability such as a car loan, credit card, personal loan or others.
  • Payslips in case you have salary variance.
  • Availability of fees required for mortgage processing.
  • Down payment proof

Documents’ requirement for a self-employed:

  • A copy of valid passport.
  • Expatriates should present their valid visa.
  • A valid Emirates identification.
  • MOA or Memorandum of Association, plus, incorporation documents.
  • Audited financials of previous 2 years.
  • Disclosure of any monthly liability such as a car loan, credit card, personal loan, or others.
  • Mortgage processing fees.
  • Down payment proof.

Along with all this, you should collect property associated documents such as the agreement and title deed.

The documentation requirement can increase depending on the guidelines followed by the selected financial institution for mortgage.

Step #5: Submit your documents

Documents dubai mortgage

You can fill the bank forms and provide your documents along with them.

Your representative can contact bank authorities with the forms and the required documents.

Then, the bank authorities review all the submitted documents.

This is the time when you can present your request to obtain a pre-approval.

When it comes to deciding your eligibility, banks follow the same approach as for a personal loan.

The Debt to Burden Ratio or DBR is calculated with respect to your financial condition and the asked loan amount.

Step #6: Get the pre-approval issued from your mortgage provider

Preapproval dubai Mortgage

Bank authorities review documents along with the clarifications you provide. This leads to the process of getting a pre-approval from the bank.

This is a letter, which includes the name of the applicant along with the amount of loan approved by the bank.

Along with that, pre-approval letter also shows tenure of the loan and the interest rate. You can see the conditions written in this letter that help in obtaining the final approval successfully.

The validity of a pre-approval letter lasts for 30 to 90 days. The exact time period depends on the guidelines followed by the selected bank or a financial institution.

Pre-approval letters help in getting a rough idea of loan amount and interest. You can use this information to compare your ability with respect to current liabilities and income.

A few banks ask some fee to provide a pre-approval letter. However, the value of this letter makes the investment a beneficial necessity.

Step #7: Ensure property identification

Mortgage Evaluation

Property identification is the process of inspection before the purchase procedure begins. You need to make sure that you are protected in terms of the commitments made to mortgage finance provider.

This requires getting copies of title deed, floor plan, contracts, tenancy and other documents to strengthen your position as a buyer.

Step #8: Wait for Property Evaluation

Mortgage Evaluation

At this stage, the bank provides a property appraisal with their approval.

This appraisal goes to a valuation team that meets all the concerned parties including you.

The team can take up to 3 consequent working days to provide their valuation report to the bank.

You have to pay a fee for this valuation, which ranges between AED 2500 and Dh 3000 along with taxes.

Step #9: Obtain an Offer Letter

Offer Letter UAE Mortgage

When the bank receives the report on valuation, the final offer is initiated.

This is the phase when all the conditions presented in the pre-approval are fulfilled in order to get the offer approval.

The bank sends you a letter approving their final offer. You and your mortgage representative can review the letter.

Only after thoroughly inspecting and accepting the offer letter, you should sign all the documentation provided by the bank.

Step #10: Go through a medical check-up

Medical Mortgage UAE

The finance amount in most mortgage cases stays high, which is why you are advised to go through some medical check-ups.

Your current medical conditions matter to some financial institutions and mortgage providers. They can ask to get life insurance as well.

Step #11: Fulfill the request for a certificate of no objection

First of all, get all the signed documents and property-related documents in order. The bank asks for a NOC or No Objection Certificate from the seller and buyer.

If you have involved real estate professionals, they take care of arranging this letter.

Step #12: Complete the property transfer

A representative from the bank schedules the property transfer.

The process takes place at one of many Land Department offices in Dubai.

Some transfer processes take place at the respective developer office.

Step #13: Receive documents and the key

Mortgages Dubai Documents

 

It is Land Department’s responsibility to provide you with a Title Deed.

The Title Deed should have your name as the property owner. Plus, the bank is represented as your mortgage provider.

The lender of the mortgage becomes the property owner if you select an Islamic Finance.

You only receive a copy of the prepared Title Deed, as the original Title is received by the lender bank. Plus, you receive a key of the property from the seller.

After completing the last step, your mortgage becomes effective right away. So, your installments begin, which you need to pay every month.


What should be the expected interest rate or profit rate for mortgage in Dubai?

Home loans are considered secure among other types of loans, which is why you get lower interest rates for their mortgage.

Usually, the interest or profit rate stays around 3-7 percent. This range of percentage makes negotiation a necessity for you.

The rates of interest should go down as much as possible. Even if you get a tiny discount, it creates a big impact on your overall mortgage.

You should look at the big picture here and calculate the benefits of a reduced interest rate with respect to the loan period.

How long can it take to get mortgage approved?

These days, lenders don’t waste too much time. There are more efficient ways to conduct and complete required assessments.

Generally, a salaried employee has to wait for 7 working days to get the mortgage approved.

However, the approval of mortgage for a self-employed individual can take a longer time period.

How to ensure the protection of assets?

In certain cases, lenders ask to get life insurance from them against the amount of mortgage.

The insurance providers are offered by the lenders. This allows you to keep your assets protected, in case of your sudden death.

But to get this protection, you will have to pay an insurance premium along with your monthly mortgage installments.

Does pre-approval matter?

Pre-approval is always a good choice to guarantee your eligibility and safeguard your final approval of mortgage.

Imagine a situation when you pay your down payment to the seller, but then, the bank rejects your application for mortgage. No one wants that.

How does the Islamic home mortgage work?

Islamic home mortgage works in compliance with Shariah banking.

Most individuals in the Muslim community prefer this mortgage approach.

The Shariah banking doesn’t ask for interest for the home finance. Also, the finance structure differs than the regular mortgage structure.

In Shariah banking, the roles of lender and borrower turn into Lessor-Lessee. The finance institution works as your lessor, while you borrow mortgage as a lessee.

Monthly installments are called rent and the finance provider operates as the property owner until you pay the whole mortgage back.

Property registration process at the Land Department Dubai

The property registration in Dubai is possible at one of many Land Departments. Registration is necessary to generate evidence of owning a property.

According to Article 22 in the applicable law, Land Department ensures the rights of real property by providing the title deed.

The title deeds are provided according to the records available currently in the registers of real properties.

  • The New Law Article 6 gives property registration rights to the Land Department only. This registration authorization includes leases for long terms and property rights altogether.
  • After getting the property from the seller, you can ask the developer to complete the registration process with your name as the owner.
  • Most probably, the agreement of selling and buying the property will require an Arabic translation. The developer should fulfil this requirement.
  • You, as the purchaser, can sign the transfer form provided by the Land Department. This transfer form is used internally in the department.

The process of property registration is chargeable. Both the buyer and the seller have to pay a 2% charge to the Land Department. But mostly, the seller and developers tend to transfer this amount to the purchaser.

Why should you compare different mortgage options?

Mortgage comparison in UAE is a wise move, as there are many options available. You can choose the best-suited mortgage option by comparing the interest rates, tenure, and other features.


What are the hidden costs to consider when looking for mortgage in Dubai?

When a new home is your ultimate goal, you easily get emotional and make mistakes in terms of money.

Home buying, if requires a mortgage, you need to have a rational approach. You have already read the different steps required for mortgage approval.

And all those steps can present with sudden expenses, which you should be aware of.

  1. Application, documentation, and processing fee

The mortgage provider can ask fees in different ways for the documentation, application, and processing as well. The fee amount can range from 0.5 percent to 1 percent. Some lenders can even go beyond those percentages. You have to have a clear talk regarding the processing and other fee associated with the procedure. Ask your lender if they charge fees for pre-approval and/or any other process.

  1. Valuation fees

The valuation fees are asked by the bank, which reaches a valuation company. This company provides valuation report regarding the property. The valuation authorities can ask for an amount AED 2000. However, it is possible that the bank adds a margin and asks you to pay up to AED 3,000.

  1. Bounced cheque charge

If any instalment cheque bounces, you become liable to pay an additional charge.

  1. Pre-pay charges

In case you successfully pay your loan early, it damages the expected interest. So, the bank charges a penalty for pre-pay to recover the losses.

  1. Loan transfer charge

You can transfer your loan from one provider to another in the middle of your tenure. However, this facility comes with additional fees. The bank or the lender will charge you a fee. Plus, you will have to pay an additional amount of money to the Land Department as well.

Buying your dream home or office in Dubai is possible now! You just need to understand the mortgage process thoroughly and utilize a Mortgage Calculator to find the best-suited loan features. This way, you can secure your financial situation and purchase a property you desire.

For a smooth completion of the process, you should surround yourself with qualified professionals. At the same time, don’t forget to improve your property and mortgage knowledge to make smart decisions.


Who can apply for a mortgage?

An individual working as an employee in UAE can apply for a mortgage. Also, a businessman or any other self-employed person can also apply using the available financial institutions.

Non-residents have to follow different guidelines, but they can also use the available mortgage facilities in Dubai. The eligibility criteria can differ for such candidates.

 

Best Mortgage rates in UAE 2019 | Compare4Benefit

0
Mortgage rates
Request a Call Back

Find The Best Mortgage, Home Loan In Just A Few Simple Steps!

*
*

Looking for Better Mortgage rates in UAE?

In fact, this blog helps you find the same.

All of us have at some point dreamt of owning our own house; it could be a lavish two-storey bungalow or a simple 2-bedroom apartment.

The concept is the same, and it is a part of the ideal lifestyle that we have all be accustomed to.

If you also want your own home and feel that right now is the perfect time to lay down your roots, it just might be.

                                     Check Live Rates Now!!!!                                                

The United Arab Emirates is one of the most booming and developing places in the world. The bank rates in the country are significantly low, and the lifestyle is something that entices everyone.

You will find some of the best mortgage rates in UAE, and it is also a reason why it attracts many expats each year.

For the average person here in the UAE, owning a house is a legitimate reality. This is possible due to the availability of low mortgage rates.

A mortgage is a legal agreement, which allows a bank to lend the debtor money in exchange for the deeds to the property.

The condition is that once the money has been given back the conveyance of the title becomes void. When looking for property, one need not necessarily pay the full thing via a mortgage. If you have some savings, you can use it as a down payment and take the rest out as a mortgage.

In the UAE, there is a multitude of banks that offer best mortgage rates to both expatriates and nationals.

Related: Mortgage Calculator in UAE

Compare Mortgage rates UAE 2018

Here is a list of some of the most financially advantageous ones and how they will benefit you:

BANKRATE OF INTERESTMINIMUM SALARYLOAN AMOUNT
Standard Chartered Mortgage One3.55% (reducing)10000 AED18 Million AED
RAKBANK Home in One3.24% (reducing)15000 AEDNo Limit
Emirates Islamic Manzili Home Finance3.19% (reducing)15000 AED20 Million AED
CBD Mortgage Loan for Expats3.64% (reducing)12000 AED (Salaried people);

20000 AED (Self-employed)
10 Million AED
United Arab Bank Home Finance for UAE National3.69% (reducing)15000 AED (Salaried people);

50000 AED (Self-employed)
10 Million AED
  1. Standard Chartered Mortgage One:

 

Mortgage rate standard chartered

Standard Chartered is one of the most well-renowned banks in the world and comes with an assurance of the best available rates and features.

 

Under their Mortgage One scheme, the reducing rate is around 3.49%, and the fixed rate is 2%.

The fixed rate is somewhat fluctuating over the course of around 25 years, which is the maximum term, but it will always hover around the 2% mark.

The advantage of taking up this loan is that the tenure of the loan will be shorter as the majority of the payment goes towards the principal and not the interest.

There is, however, a minimum salary requirement of 10000 AED. The down payment can be around 20% of the property price, and the bank offers up to 18 million AED.

For those of you looking for property in and around Abu Dhabi, Dubai, and Ras Al Khaimah; this should be your first choice.

      Click Here to Apply For Standard Chartered Mortgage One

 

2. RAKBANK Home in One:

 

RAK Mortgage rates

RAKBANK Home in One offers a combination of a current account holding and a home finance.

The interest on the loan is calculated on a daily basis, and you can withdraw your money at any time.

 

The reducing rate is 3.24%, and this can fluctuate over the course of the repayment period.

The minimum salary requirement is 15000 AED, and there is virtually no cap on the amount you can take.

The mortgage can be taken out for a maximum time period of 25 years, and you can purchase any property in Dubai, Abu Dhabi, and RAK.

The only condition is that the property needs to be ready, and you can only purchase under construction property in Dubai.

              Click here to Apply for RAKBANK Home in One

 

3.Emirates Islamic Manzili Home Finance:

 

Mortgage rates Emirates Islamic

Emirates Islamic  bank offers one of the lowest mortgage rates, with a fixed rate of just 1.81%, which is adjusted for 25 years.The reducing rate is around 3.2% per annum.

There is also a minimum salary requirement of just over 15000 AED. You also get a credit card when you take this mortgage option and a 2-month installment deferment. You also have to be a salaried employee for just over 6 months to choose this mortgage.

You can get up to 20 million AED in the mortgage, which will have to be paid over the course of 25 years. This offering also comes with a two month deferment period, which is good and can be availed every year.

    Click Here to Apply for Emirates Islamic Manzili Home Finance

 

4. CBD Mortgage Loan for Expats:

 

Cbd Mortgage Rates

If you are an expatriate looking for the best mortgage loans that will help you buy the house you have been dreaming for, this is it.

The CBD offering is a very lucrative one.

The extremely low fixed rate of just 2.1% over 25 years and the reducing rate of 2.99% per annum are all good for any expatriate looking to put down their roots.

There is a requirement of 12000 AED minimum for salaried individuals and 20000 AED for self-employed people.

You can take up to 10 million AED, which is enough to land you a fantastic place.

The only qualm is that this mortgage is available if the project is already complete.

If you have been waiting this long to buy a house, this option is by far the most cost-effective.

           Click Here to Apply for CBD Mortgage Loan for Expats

 

5. United Arab Bank Home Finance for UAE National:

 

UAB Rates Mortgage

If you are an Emirati national and are looking for the most effective mortgage, this home finance from UAB is the way to go.

With a lowly 1.69% fixed rate per 25 years and a 2.99% reducing rate; for any of you looking to get a brand new villa or put down a real estate investment, this option is the one.

However, you need to have a minimum salary of 15000 AED, and those who are self-employed, the requirement is a steep 50000 AED.

You can get up to 10 million AED and purchase any property with a title deed in Emirates. Such flexibility allows you to invest in the widest range of options and where you feel is going to pay off big dividends.

You also get a pre-approved credit card when you take upon the mortgage option.

Click Here to Apply for United Arab Bank Home Finance for UAE National

As you can see, the choices are endless. This gives you tremendous freedom in choosing the best option, one which will suit your long-term plans as well as your family’s plans.

The UAE is a thriving place where the standard of living seems to shoot up each year.

If you have been in the country for a long time or you are a native, getting a house right now would be a very prudent investment.

Investment Opportunities in Dubai | Compare4Benefit

0
Investment in Dubai

This blog explains the relevance of investment opportunities in dubai.

 

Dubai continues to provide enticing opportunities for investment.

The city has attracted the US $7.8 billion in Greenfield FDI in 2015 giving it the rank of 6th top city worldwide for garnering foreign capital.

Related : Looking for a Mortgage in Dubai? Search smarter, Save Money with the help of Compare4Benefit.

Both overseas and local investors operate freely and safely in this robust and carefully regulated economy.

DFM (Dubai Financial Market) – A stock exchange owned by the government is a top class international platform offering investors innovative services and products to trade, clear and settle in a liquid, transparent and efficient environment.

Investment Dubai
This historical data provides an invaluable source of information for investors and companies to directly access the most authoritative and comprehensive data reports online.
You can even filter based on sectors.

Also, the DIFC (Dubai International Financial Centre) is a major worldwide financial hub for Africa, Middle East, and South Asia markets.

DIFC Portal

Set up in 2004, the DIFC has internationally regulated, independent judicial system, the regime for tax-free zone and worldwide financial exchange, which caters to one among the most cosmopolitan business communities in the region.

DIFC is home to hundreds of financial agencies (private investors and wealth funds), apart from cross-industry transnationals and an extensive array of cafes, retail outlets, art galleries, restaurants, parks, hotels, and residences.

Being a free zone, DIFC permits 100% foreign ownership and is governed by the common law framework, not part of the UAE legal system. ‘

It provides a 50-year guarantee of zero taxes on corporate profits and incomes, complemented by treaties for the avoidance of double taxation in the UAE.

Dubai was awarded 1st rank in the region and 18th rank in the global arena, as per the 2017 Global Financial Centers Index.

          Related : Non Residents Guide to Buying a Property in UAE.

Based on its modern regulatory and financial ecosystem, Dubai has proved to be a trusted investment partner for both big companies and small and medium enterprises (SMEs) with strong governance and legal security.

The city assures transparency in implementing services, policies, and legislation.

Dubai is the capital of UAE, which is a business hub in the Middle East. It provides easy access to the 1.5 billion consumer markets of West Asia, Africa, Eastern Europe, CIS countries, and of course, the Middle East.

Dubai is a good place for investment because of the following reasons:

  • It is one among top destinations for investors and businesses in the whole of the Middle East. The modern infrastructure and government policy support both big companies and SMEs.

  • Business opportunities in the city are not only for locals but also for overseas investors. Foreign investment is a boost for the economy of Dubai.

  • There are several free trade zones in the city like the DIFC, which encourages commerce and trade. The cheap goods in Dubai attract customers from far and wide.

  • Setting up a business in Dubai is fairly straightforward and easy. With forward thinking, progressive policies adopted by the UAE government, it encourages foreign investors to invest in the oil-rich country. UAE investors are provided incentives for setting up business.

  • Dubai attracts investors also because taxation is minimal and nearly non-existent. Taxes are imposed mostly in 3 sectors- tobacco processing, banking, and oil.

  • The Dubai govt. has a long-term plan which focuses on encouraging new business. This helps to support the economy for many years. They have favorable business laws. Tax-free scenario is ideal for new, emerging companies.

 Specific areas for investment opportunities in Dubai

  1. Construction

With every passing day, new structures and buildings are being erected in the UAE. This implies plenty of opportunities for engineers and other professionals in the construction and building sector.

Also, investors can set up businesses, which make or sell raw materials required for the construction sector.

2. Financial services

 

 

 

 

 

 

 

 

 

Thanks to the presence of several large-scale businesses in the UAE, there is a corresponding big demand for professionals offering financial services : auditors, bookkeepers, and accountants.

If you specialize in any of these areas, you can profit from setting up financial agencies in Dubai.

3. Oil and gas

 

 

 

 

 

 

 

 

 

This sector is at the heart of the UAE economy. Much of the financial prosperity of UAE can be attributed to this sector.

In spite of being exploited for many years, the oil sector has enough room for accommodating new investors.

Entrepreneurs can begin businesses from scratch or in partnership with existing businesses.

4. Snacks and food

 

 

 

 

 

 

 

 

Food businesses thrive everywhere and at all time. Dubai is no different. There always exists a high demand for snacks and food. So, opening a food joint can help gather profits.

5. Security

Though Dubai does not have major security concerns unlike most other countries, businesses and individuals do not want to take chances with regard to their precious assets.

This has led to rising demand for security devices and security personnel. For instance, there is a demand for companies selling security devices like surveillance cameras and alarm systems.

6. Healthcare

 

 

 

 

 

 

 

 

 

Similar to other developed nations, people in UAE are highly health conscious.

This trend has led to a rise in demand for professional healthcare facilities and providers.

Thus, Dubai is a great place to begin a healthcare business.

7. Transport

 

There are many opportunities in the transport sector thanks to the high demand for transport services. For instance, you can invest in trans-city transport or local taxi services.

8. Tourism

 

 

 

 

 

 

 

 

 

Dubai is a highly popular vacation destination.

This explains why there exist so many five star hotels in the city.

Dubai is host to many thousands of visitors every year, and so, a hospitality or tourist business has much potential.

9. Environment

 

 

 

 

 

 

 

 

Because of the rapid growth of the city, many activities like construction and urbanization cause high damage to the environment.

At the same time, people are growing concerned about protecting the environment. Thus, there are big opportunities in Dubai for advocates of green living, and also businesses, which provide several environmental protection services like waste recycling.

10. Energy

 

 

 

 

 

 

 

 

Though UAE is full of investors in the oil business, there are chances for many companies to maintain energy generation in the country.

Thus, if you are seeking to invest in Dubai, a maintenance facility for the energy sector is an option you should consider if you have needed capital and expertise.

11. Business franchise

It is a new concept in Dubai. Because of the huge expat population and the diverse preferences of people in the city, the concept of business franchises is fast becoming popular.

A franchise in the food industry is, for instance, the fastest growing business in the city.

12. Trading

Dubai is the city where traders from all around the world gather to exchange goods and services. Imports and exports are the buzzwords in the trading circles since a major part of people’s income is from trading.

One can export and import any marketable items like textiles, dried fruits, fashion items, vehicles, and plastic goods

13. Travel agency

 

 

 

 

 

 

 

Because Dubai is a major tourist destination in the world, a travel agency is a great opportunity for investment. Dubai sees the visit of millions of tourists every year.

The population of the city is also in a flux with a huge presence of expat population.

14. Speciality schools

The presence of a big expat population increases the need for many specialty schools. Think of any international school and you can profit from this business. This is a current business opportunity.

15. Retailing and designing of jewellery

 

 

 

 

 

 

 

 

 

Dubai is reputed worldwide as ‘Mecca of Gold.’ In fact, there is great global demand for ‘Dubai diamonds.’ You can invest in a business of jewellery making or bead making

16. Real estate

Dubai is no longer a barren desert. It is a thriving metropolis. Real estate is thus a thriving industry in the city. Construction firms are competing for projects in various segments such as logistics, industry, and residential sector apart from other projects in construction.

17. Nightclubs and bars

 

 

 

 

 

 

 

 

 

Dubai is a city for hardworking professionals, who are busy throughout the day. Thus, they seek to unwind by chilling out at nightclubs after work hours.

Here they share a drink or two to get rid of the stress of the daily grind. One can set up a scene for night time entertainment, particularly for expats.

18. Employment agencies

 

 

 

 

 

 

 

 

Another hot business opportunity in Dubai is employment agencies, particularly for skilled workers. The fast-growing economy requires a lot of skilled workers to keep up with industrial and service industry growth.

There is much demand for professionals like engineers, doctors, nurses, IT experts, construction workers, and accountants. Hiring such professionals opens many opportunities for employment agencies.

These are some of the hottest opportunities for investment in Dubai. While setting up a business in Dubai is rewarding and lucrative, it is also a risky proposition for overseas investors.

In the case, you are a foreign investor, you are required by law to have a partner in a local citizen, prior to floating a company, and the citizen has to own a lion’s share (over 50%) in the business.

If you aim to begin a business in Dubai, you must play by the rules, or you risk losing your business. There is minimal scope for opening a shady business in Dubai. You can make huge profits on your investment in Dubai if you stick to the right channel.

Here are some steps for investing money in a business in Dubai:

  • Feasibility studies

Without a doubt, Dubai’s business environment is open to persons of all cultures and nationalities, but you must follow due process before setting up any business.

The first step before investing is conducting your own feasibility studies for gaining a good knowledge of Dubai for maximizing profits.

Ensure you conduct a market survey, scrutinize competitors and design strategies which will help you thrive as an investor in Dubai.

  • Business plan

Investing in Dubai is a serious business; for this, you need a viable business plan. Such a plan will not only guide you but help in gaining business partners.

You are also required to submit your business plan to the regional governing body of Dubai before getting approval for opening a business.

  • Local business partners

Prior to setting up a business in Dubai, in the role of a foreign investor, you are required by law to have a local partner in business; a UAE citizen or a Dubai company.

The local business partner must also have majority share.

While scouting for local partners, try to steer clear of selfish and greedy persons. The best strategy is to go through the local chambers of commerce (Dubai Chambers of Commerce and Industry). However, this law is under serious review, since it is not promoting foreign investment.

  • Raising the capital

Before investing in Dubai, you will have to prove to the government that you have the required capital.

The required amount ranges between $ 10,000 and $50,000 and is subject to review of various free zones in Dubai.

  • Use of free zones

There exist various free trade zones in Dubai, and these areas are favourable to foreign investors.

In the case, you set up a business in a free trade zone in Dubai, you can benefit from exemptions from export and import duties, land tax, commercial taxes, the license fee for property and building and restrictions on the transfer of capital invested in free trade zone.

  • Business registration

You must satisfy some conditions before dealing with the Ministry of Commerce of Dubai for the purpose of registering your business.

If you are not aware of the procedures, consult the readily available services of attorneys in the business.

  • Business promotion

If you succeed in opening a business in Dubai, you must not spare any energy in promoting your business via various channels. For example, a hotel business can be promoted by ads in travel magazines.

All the above information will help you greatly when you are considering investing in Dubai. Stay updated with all trending issues by doing your own research in this field.

Car Insurance Myths in UAE

0
car insurance myths

Cars are highly preferred in UAE rather than any other vehicle, and therefore the car insurance market has a massive increasing activity at present.

The price of insurance varies depending on many factors along with the money cost used as the compensation during the period of unlikely issues or events.

Choosing the right car insurance in Dubai is strenuous substantially for the new insurance buyers, people believe in wrong myths from various people and result in wrong decisions, but this is one of the essential topics that shouldn’t be ignored when you are spending much money on the car insurance policies.

Related: Apply For Car Insurance from Compare4Benefit and Get VAT FREE Car Insurance.

List of Car Insurance Myths in UAE

Today we will check for a few myths regarding the car insurances that everyone should be aware of it.

Medicals bills are covered for a significant accident or other issues in the case of the applicant having a Personal Accident Cover.

Many First time buyers of car insurance in UAE has a belief that getting a Personal Accident Cover while purchasing car insurance will take care of their medical expenses occurred when they get injured in a road accident, and this is not true entirely! Moreover, here are few payouts which will be provided to the people in a lump sum once confirming after an in-depth diagnosis.

    • Personal Accident covers are provided in the case of any preconceived peculiar injuries or damages, and if you capitulate to any lesion or any other injuries in a road accident, then Personal Accident Cover will offer a total amount of money that you have insured to your family and the maximum sum is about AED 200,000.
    • If you have lost your eyes and gone blind due to the accident occurred in the road then personal accident cover will provide a maximum sum of about AED 100,000 for each eye lost in the road accident.
    • If you lose a limb during a road accident, then you will be provided with the maximum amount of AED 50,000 for each limb.

Your Takeaways: If you got injured during an accident, you would not be able to get the medical coverage just showing your insurance policy documents at the hospital. You need to have a health insurance plan if you need to skip paying from your pocket.

Comprehensive Coverage is Offered in GCC Cover

Most of the gold and car insurance companies provide these universal feature GCC cover for their customers, but it has the capability of covering just the partial benefits.

You will not be eligible to drive to any other GCC Country if you have this GCC cover in your insurance policies. You need to face the drive only at your own risk as they don’t cover financial safety.

Your Takeaways: Every car owners should have to get the insurance for the vehicle they buy according to the UAE law, and therefore the insurance policies have become a mandatory one. GCC cover does not cover any third party liability, so you don’t have permission for driving off to any other GCC country.

Related : What does Comprehensive Auto Insurance Cover

You will be required to get a TP insurance on the border at a rate of AED 90 for five days.

Comprehensive Insurance plans do not cover mechanical Repairs:

The standard and most natural myth around any car insurance are that mechanical repair costs are not included in any comprehensive programs in the case of any injuries or during the car breakdowns.

Your Takeaways: The critical thing every car insurer need to have in mind is that you shouldn’t believe everything you hear from people saying regarding the insurance plans. Any of the car insurance agents will not cover mechanical tear & wear and depreciation in their plans. Automobile parts are included based on the depreciation rate when your vehicle is damaged in an accident or during your car break down in this comprehensive insurance plan.

Your car dealers will provide best Insurance Plan

When you are purchasing a new brand car, everyone thinks that they can get the best insurance plan from his or her car dealers, but this is never a good or best idea.

You will not be able to get the best deal if you are purchasing any insurance plans from any car dealers, insurance brokers or insurance agents offline.

They will change your mind and make you get the one as per their preference, the best thing you need to do before purchasing a car insurance plan is to research, compare and then get the best insurance plans for your vehicle.

The technology advancement has brought an enormous change in the digital insurance field too, and the best way is to get the insurance is online. You will be able to avail many benefits like more transparency, ease of buying, wide varieties of insurance, etc. and also save your time and money by getting online.

Related: Find Car Insurance Cost in UAE

Insurance for your vehicle is something you need to check out directly rather than purchasing from offline or other ways. If you are getting insurance from your car dealers, then you might need to pay a high commission for them.

If you are purchasing insurance online then you will be able to get multiple benefits as there are various plans available, you can compare and choose the best deal.

Related: Compare Car Insurance in UAE.

Your Takeaways: You will be able to enjoy maximum coverage for your insurance without paying from your pocket, the price you pay should be useful for you not for the dealers or brokers.

A Must have Feature- Agency Repair?

The critical specification included in the comprehensive insurance plan is the Agency Repair, this will cover maximum accident-related repairs from the official dealer at the authorized garages. The premium is high for the comprehensive coverages as per the enhanced support, and you can opt or not opt to agency repair as the decision belongs to you.

If you need any spare parts installed in your car or any other vehicle after any accidents in the case of a luxury car, then you can prefer agency repairs. If you have the spare parts available for your generic vehicle then paying for the agency repair is mere foolishness.

Your Takeaways: Before you go for any agency repairs you need to check whether you need them in your car insurance plans. More than the premium garages, the insurers’ network garages will be the best option.

Before opting for any UAE vehicle insurance, make sure you analyze the insurance needs and then check out the insurance plans fine print. If you have a detailed understanding of the plan, you never have to fall for these myths.

Knowing about the policy exclusion and inclusion declines the claim rejection risks.

Want to know more about Car Insurance, Read Our Complete Guide on Car Insurance in UAE

Any other myths regarding the Car Insurance Plans.

Let us know through the comment section below.