Light Transport Vehicles Insurance in UAE

What is Light Motor Transport Insurance?

Light transport vehicles insurance is a type of insurance that covers damage to your commercial vehicle due to an accident, theft, or natural disaster. It also safeguards you against third-party liabilities, such as damage to someone else’s property, vehicle, or bodily injury by your insured vehicle.

In the UAE, it’s a legal requirement for all commercial vehicles to have at least third-party liability insurance. Operating without this mandatory coverage can result in hefty fines, vehicle impoundment, or legal action. You can typically choose between third-party liability and comprehensive insurance, whichever suits your business and budget.

Why Should You Buy Light Vehicle Transport Insurance in UAE?

Light transport vehicles play a crucial role in sectors like logistics, e-commerce, healthcare, food delivery, and retail. As most of these are owned by small and medium-sized businesses (SMEs), securing them with the right insurance coverage ensures financial stability and uninterrupted operations.

If your business involves vehicle operations of any kind, getting them insured is crucial. Here are the top reasons to choose light motor transport insurance in the UAE.

Legal Requirement

As discussed above, commercial vehicle insurance is mandatory in the UAE. So, if your business operates light transport vehicles, you must insure them with the appropriate coverage.

Third-Party Liability Coverage

Third-party liabilities arising from road accidents can impact your business financially and damage its reputation. With light commercial vehicle insurance, your insurer covers such liabilities — damage to another person’s vehicle or property, bodily injuries caused by your vehicle, and more.

Covers Your Vehicle’s Damage

In case your insured vehicle is damaged due to involvement in an accident, you will get coverage under this insurance policy. Plus, it also covers the loss or damage due to theft, vandalism, and natural disasters.

Helps in Business Continuity

One of the key advantages of commercial motor insurance in UAE is that it helps your business avoid disruptions caused by accidents or financial losses. The policy offers extensive coverage and protects you from unexpected financial burdens, ensuring smooth business continuity and uninterrupted operations even in the face of unforeseen events.

What are the Types of Light Transport Vehicles Insurance?

There are two main types of insurance for light vehicle transport businesses in the UAE:  third-party liability insurance and comprehensive insurance. Let’s understand the key details —

Third-Party Liability Commercial Vehicle Insurance

Under the UAE Motor Vehicle Law, it is mandatory for all commercial vehicles to have at least third-party liability insurance. This basic coverage protects you from legal and financial liabilities arising from your insured vehicle causing damage to another person’s property or vehicle. It also provides compensation in the event of third-party injury or death.

Comprehensive Commercial Vehicle Insurance

Comprehensive commercial vehicle insurance offers broader protection. It covers both third-party liabilities and damages to your own light transport vehicle. With a comprehensive plan, you get all-round financial security. Many insurers also let you enhance coverage with optional add-ons for an extra premium, ensuring complete peace of mind for your business on the road.

What’s Covered (and What’s Not) Under Light Motor Transport Insurance in UAE? 

While getting a policy for light commercial vehicles, it’s good to be aware of the inclusions and exclusions. Here are the key coverage and exclusions —

Note: The list above is not exhaustive. Depending on your policy, you can find additional inclusions and exclusions.

How to Buy Light Transport Vehicles Insurance Online in UAE?

You can easily purchase commercial vehicle insurance for light transport vehicles with Policybazaar.ae and secure your business from potential losses. Here’s what you need to do —

• Go to the homepage of Policybazaar.ae 
• Explore the ‘Business Insurance’ section and choose ‘Commercial Vehicle Insurance’
• Fill out the given form with the accurate details 
• Click on the ‘Submit’ button, and it’s done

Our expert will get back to you soon and guide you in choosing the best commercial vehicle insurance plan from the leading providers.

Frequently Asked Questions