How are motor insurance premiums calculated in the UAE?

Motor insurance premiums in the UAE are calculated by

• Vehicle value—The key factor is your vehicle’s market value, which is determined by the initial rate of your motor insurance. High value or luxury vehicles typically attract higher premiums.
• Driver profile—Age and driving experience can affect motor insurance premiums. Younger and less experienced drivers may pay more due to higher risk.
• Type of coverage- The type of repair coverage selected, such as agency (dealer) repair or garage (non agency) repair, can significantly affect the motor insurance premium. Agency repairs typically lead to higher premiums due to higher repair costs.
• No claims discount (NCD): Drivers with no prior claims may receive discounts on their premium.