Life Insurance in Dubai

Life Insurance in Dubai

Most expats in Dubai are here for the short to medium term i.e. 3-10 years. Some even stay more than 15 years or more. When they cross the 3-year mark, chances are that they will stay longer in Dubai.

Life insurance in Dubai

Common mistake expats in Dubai make with their insurance planning -

1. Many expats put off taking Life Insurance in Dubai because they think that if they are here for a short period, and think that continuing the life insurance policy from another country would get difficult – Life insurance policies from reputed international companies are always portable and can be continued from any country in the world which supports international bank accounts or credit cards.
2. Putting of Life Insurance planning in the short term is very dangerous because if the expat were to die in the UAE or be involved in an accident, he/she would be leaving their surviving dependents exposed to an high amount of risk through the loss of income from the earning member.
3. Taking life insurance too late in life. The cost of insurance increases significantly as you age and the earlier you consider life insurance in Dubai, the cheaper it gets.

Key points to consider when getting Life Insurance in Dubai -

1. Source of planning advice – The source of advice is very important when making any major decision in life, especially one that involves Life Insurance in Dubai.
• Banks are financial institutions and not insurance specialists. They are not the right source for taking insurance planning advice or policies.
• Banks offering Life insurance in Dubai represent at the most one or two international or local insurance providers, hence their product range is very limited and may not suit your needs. Hence their consultants or relationship managers are only interested in pushing these products to you and do not offer impartial advice.
• Banks offering Life insurance in Dubai DO NOT have qualified advisers who can do a good job with your insurance and financial planning.
• Most importantly banks offering Life insurance in Dubai have much more hidden charges in their insurance plans and you end up paying much higher premiums for the same benefits as you would if you go through an independent broker.
• You should always approach an Independent financial adviser who is associated with a reputable insurance broker. The word ‘independent’ is key here because he/she represents you and not the providers and gives you impartial advice on which product to choose.
2. Quality of planning advice – When considering life insurance in Dubai the personal financial planner you approach for insurance planning advice should be suitably qualified and trained by the providers and the broker he is associated with. This is very important because life insurance planning is a complicated process and lots of factors need to be considered when designing the insurance portfolio.

Product related factors – Life Insurance in Dubai

The following points are very important and should be discussed with your independent financial adviser when considering Life Insurance in Dubai.

1. Term Life Insurance vs Whole of Life insurance.
2. Single Life Insurance policy vs Joint life both death Insurance policy.
3. Death benefits and living benefits.
4. Number and types of critical illness being covered.
5. Growth rate and premium affordability in case of cash value policies.
6. Premium payment terms.
7. Premium payment options and flexibility.
8. Funds where your money is being invested for insurance policies with cash values.
9. Till what age does each benefit last.
10. Are the benefits and levels of cover designed correctly as per your requirement? etc…

As you can see getting life insurance in Dubai involves a lot of planning and careful decision making. If you are keen on getting Life insurance in Dubai, please fill in your contact details in the form below and we will contact you for a free 30-minute review of your insurance requirements.