Motor Insurance

Motor Insurance deals with the insurance of road vehicles. Third Party Liability covers the legal liability of the person insured towards a third party who is injured or killed in an accident or whose vehicle or property is damaged. Comprehensive cover provides all the same legal liabilities as well as coverage of accidental damage to the insured vehicle. Both Third Party and Comprehensive covers are available with the option to include personal accident cover for passengers and drivers.

Government Regulations

Motor Insurance has become an important aspect of everyday life. In today's human activities there is tremendous risk of dangers to people and property. An Individual's action could cause damages or losses that need to be compensated.

These considerations have urged legislators to enforce Motor Insurance and make it compulsory. According to United Arab Emirates Federal law No(21) of 1995  Motor Insurance against Third party Liability is compulsory for obtaining Motor Vehicle Licence.

Furthermore, In order to achieve the supervision and control of ministry of Economy and Commerce on Motor Insurance, the Ministry issued Ministrial Resolution No.(54) of 1987 to unify the vehicle insurance policies as follows:

" Vehicle insurance policy issued by operating insurance companies in the UAE cover Loss, Damage,  Civil Liability as per the two forms attached to the Resolution".

The Ministry attached forms of such documents that were used with effect from 1st January, 1988.

Types of Motor Insurance

The two types of unified Motor insurance Policies cover:

1. Loss, Damage and Third Party civil Liability (Comprehensive)
   
   - Own damage to the vehicle upto the declared value, less Excess & Depreciation.
   - Death and /or Bodily injury to any third party is unlimited, but as per court of law decision.
   - Damage to Third party property upto Dhs.500,000/- any one accident.

2. Third Party Civil Liability (TPL)
   
   - Death or bodily injury and / or property damage to any third party as above.

Geographical Area for Insurance cover is United Arab Emirates

Third Party civil Liability Covers explained

The above two types of motor insurance policies cover Death of or Bodily injury to any person including the passengers in the vehicles EXCEPT the INSURED or the DRIVER at the time of the accident and THEIR FAMILIES (SPOUSE, PARENTS and CHILDREN) and the EMPLOYEES of the Insured.

Additional Endorsement

Upon the request of the Insured, the company, by way of additional endorsement attached to the policy and within the limits of its provisions and conditions, may cover the insured and his family and the Driver and persons working for the insured against accident that may occur to any one of them.

Alliance Insurance Company offers the best rates and Services to its  clients.