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
Loss, Damage and Third Party civil Liability
- 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
- Damage to Third party property upto Dhs.500,000/- any one accident.
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
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.
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.