30 April 2017
· A recent study by the market leaders reveals that 90% of imported (non-GCC specification) cars are rejected by insurance companies for comprehensive insurance

· The average premium per policy was around AED 3,000 for comprehensive coverage from May 2016 - March 2017

· Results revealed as dubizzle Motors and Souqalmal.com announce partnership to provide fast, easy and reliable tool to search for, compare and buy car insurance for second-hand cars

Dubai - A recent study on car insurance premiums by dubizzle Motors and Souqalmal.com revealed that 90% of imported (non-GCC spec) cars are rejected by insurance companies for comprehensive insurance. The results also highlighted that insurance premiums can vary for the same car make and model based on many factors including; depreciation of the vehicle, vehicle specifications (GCC vs. non-GCC), the age of the driver and the number of driving years.

An in-depth analysis of the car insurance policies that have been purchased through Souqalmal.com from May 2016 – March 2017 indicates that the average premium per policy was around AED 3,000 for comprehensive coverage.

The most popular features among UAE consumers when purchasing car insurance were agency repair and personal accident cover for drivers and passengers. Looking at the number of insured vehicles, Japanese cars ranked first; as for year of manufacture, more than 50% of the cars insured on the site were less than three years old. Based on the same period, the most insured cars in 2016 in the UAE were the following: Nissan Altima, Honda Accord, Honda Civic, Nissan Tiida, Mitsubishi Pajero and Toyota Corolla.

The survey results are released as dubizzle Motors announces its partnership with the country’s #1 insurance & financial comparison website – Souqalmal.com, to provide users with a fast, easy and reliable tool to search for, compare and buy car insurance in the UAE, without having to leave the dubizzle platform. Currently offering car insurance plans from ten leading providers in the UAE, Souqalmal.com, through its partner Lifecare International, allows users to customize their insurance coverage by selecting specific cover options.

“Souqalmal.com is a company that abides by the same principle of driving market transparency as dubizzle. Building on our previous partnerships with Expat Wheels and CarReport, this partnership provides dubizzle Motors users with an unbiased comparison tool to get the best deals on car insurance. This streamlines the car purchasing process further and empowers users to make well-informed decisions when purchasing car insurance,” said Jean-Pierre Mondalek, General Manager of Motors at dubizzle.

The value of the cars is not what owners think it is; for example, a Nissan Altima 2010 is valued at an average of AED 25,460 in the used car market, while the insurance companies value it for an average of AED 18,989. However, a Nissan Altima 2016, valued at an average of AED 51,572, is valued by the insurance companies at an average of AED 88,650. Noting also that the age of the car is considered as a key factor: the premium for a comprehensive coverage of a Mercedes Benz S Class 2010 ranges between AED 2,675 to 3,450, while it ranges between AED 10,447 to 12,812 for a 2016 year of make.

The most recent data from the Insurance Authority suggests that the car insurance industry is poised for growth, especially in light of the digital disruption that has started to unfold. In 2015, a total of 1.7 million comprehensive motor insurance policies were issued in the UAE and this figure has grown by 12.3 percent year-on-year. The number of Third Party (TPL) policies stood at 1.3 million, growing at 7.4 percent year-on-year during the same period.

“A survey we conducted last year revealed that 90 percent of UAE respondents would opt to buy car insurance online. Capitalizing on these insights, we have partnered with dubizzle Motors to provide a convenient and transparent insurance comparison service to car shoppers on the platform. Our collaboration is intended towards making the car and car insurance buying process a seamless one,” concluded Ambareen Musa, Founder & CEO of Souqalmal.com.

Through this new partnership, dubizzle Motors’ 5.5 million monthly users can now access instant, customized quotes for cars of interest within 60 seconds, have an insurance policy issued within 60 minutes, and have all questions answered seven days a week via the Souqalmal.com call-center.

-Ends-

© Press Release 2017