4 Reasons Why You Are Unable To Get Car Insurance
Car Insurance is an essential requirement for a car owner to fulfill and the insurance is critical is necessary for more than one factor. A car insurance insures you from potential accidents and also saves you from hefty police fines. Keeping that in mind, it seems imperative to get insurance before not having one lands us into trouble. But while every day thousands of vehicle owners in the UAE look for insurance plans that may be better suited to their prized vehicle, some of those owners have a hard time getting a comprehensive insurance.
A lot of information is present on the internet about where to get a motor insurance for personal or business requirement in the UAE. However, what is confusing is that not many people are able to understand as to why they can’t get any comprehensive package and they are unable to attract good deals in insurance plans for their favorite Dubai cars. Although we have talked about motor insurance providers in the UAE region, now we’ll help you understand why your car has not been getting comprehensive quotes with ease. Here are some points for you to remember if you are in such a situations:
Lapse in Insurance Kind of Situation
A lapse in insurance is considered as a situation when the car’s previous comprehensive insurance hasn’t been renewed before it expired, thus leading to a gap of few days. Another reason could be if you have a third party only insurance.
The cars with such issues can be insured without much hassle but only if the vehicle’s working condition is good. But, since there has been a lapse from customer’s end, then it’ll be the responsibility of the client to provide the necessary documentation to ensure the car is in proper working condition.
Some car insurance providers will settle for pictures of the car, as well a self-declaration form while some of them prefer to send their inspection officers to inspect the vehicle personally.
It is advisable to get the smaller damages fixed before getting a car insurance for your vehicle just so there aren’t any problems with policy issuance.
Your Car Doesn’t Adhere To GCC Specification
Cars that adhere to GCC specification are certified to be sold in the GCC region. It is reasonable to check for this detail before buying a car without checking some facts like these. Details like this are important as some insurance providers may refuse to provide a comprehensive car insurance for non-GCC cars in the Dubai, Abu Dhabi or any other emirate of UAE.
This mostly is important in the case of buying and importing refurbished or used vehicles from the United States or some other non-GCC country. These cars carry the risk of the vehicle being involved in an accident and then being declared a loss by the country’s law enforcement. In the past, several vehicles like these have been sold to unsuspecting customers from UAE by providing the cars a necessary touch up and repairs to ensure it looks normal. People get attracted to low costs of good cars and later on come to realize that the car deal isn’t as good as it looked. Keeping this in mind, the UAE government has banned these gray imports originating from other countries, and there still are a significant number of salvaged vehicles for sale in Sharjah, Dubai and Abu Dhabi.
Perhaps it is reasons like these that the RTA for Dubai has enforced some things to do before selling the car(You can read about those tips here). A quick way to understand will be to check if the dashboard lists the readings as miles per hour or kilometers per hour since cars built in Dubai use speedometers with kilometer per hour reading.
Car Too Expensive To Repair
If the vehicle maintenance cost is high compared to the overall car’s value, it will be difficult to find yourself a comprehensive insurance provider. There are mostly two reasons for this.
As the car gets old, the cost of it and the value associated with it decreases. At the same time, the cost of car parts is usually consistent. So for cars that are older, for example, built in the year 2002, an insurance provider may be apprehensive in providing you the insurance.
Another reason is that some vehicles are rare in UAE and thus, finding their spare parts may attract a lot of trouble and efforts. This is particularly the case for the cars that have been discontinued or cars that are common worldwide but won’t be easily found in UAE region. An example would by Hummer H2.
Car’s High Loss Ratio
Most UAE car insurers have their analysts pull in all the records and data to check for the cost and the loss factor based on a car’s make or its model. If a certain car model is found to have a certain number of accidents, the insurance companies usually blacklist such cars or quote the insurance details based on the case by case basis. Case by case basis will involve scrutiny towards the driver’s security records and of the vehicle’s no accident record.
Most of the affordable high-performance cars like Ford Mustang, Ford F-150, or Dodge Charger are some of the least favored cars by the insurance providers. On the other hand, owners of Porsche Cayman or Cayenne will be at ease while getting comprehensive insurance plans even though they are high-performance cars as well.
It is advisable to keep away from cars that were involved in accidents prior and to maintain a clean driving record. Although these steps seem simple, they are critical in helping you get a comprehensive car insurance. However, in the cases when the car’s value has reached a downward decline over the years or the production has stopped for the model, a basic third party liability policy may be the better product to choose to keep all factors in mind, after all safety is an important thing to pay money about.