Everything You Need to Know About Classic Car Registration, Fees, RTA Registration Centre
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Traditional vehicles are comparatively easier to insure. You need to consider your coverage requirements along with age & gender. Then your driving history and the levels of crime in the neighborhood is taken into account, and you have a considerable insurance premium.
However, performance or exotic sports cars, such as the ones manufactured by McLaren, Lamborghini, Ferrari, Aston Martin, or Maserati are usually hard to insure. They are not just comparatively expensive, but also need more specialized and complex repairs if damaged. These cars may also have a greater chance of getting stolen or vandalized. This might cost the auto insurance provider a significant amount when they have to make payment for any of your insurance claims. Hence, a lot of car insurance providers charge even more for the coverage of sports cars or altogether reject to provide coverage for exotic & performance cars.
However, the risks which make these exotic or performance cars harder as well as more expensive to insure, make them even more important to insure.
If you are spending a huge amount of money for a luxurious, high-end, performance car, you would want to make sure you keep your investment safe. Car insurance UAE saves your vehicle from the damage caused by some other driver during an accident or the theft or damage that might occur if you have not been driving your car at all. Although sports or import car insurance might be expensive, you would want to have enough coverage for replacing as much value of the car as you could.
You must have a car insurance UAE before getting behind the wheel. Before purchasing your car insurance, find out what amount can you afford to pay in case you get involved in an accident & become liable to pay for medical bills for someone else. You should also consider a situation where your car might get stolen and you will have to replace it.
Since car insurance includes various components such as liability for bodily injury, collision and comprehensive insurance, and protection from personal injury, you can adjust the amount as suitable for your needs.
If you are capable to afford a performance or exotic car, you can probably afford to make payments for medical bills of someone else. Hence, you might not need a lot of liability coverage. However, with that same amount, you might not be able to replace the whole car. So, you should definitely increase your comprehensive coverage. The import auto insurance you own could get adjusted later.
A major downside of getting an exotic or high-end car insured is that it is very expensive. The amount of premiums can go very high. Since motor insurance is needed almost everywhere you drive, the cost of premium must be an important consideration in case you have decided if you want to plunk down money in regard to that Lamborghini Huracan.
One of the reasons behind high-cost is that the repairs on high-end or performance cars are generally expensive. So as to maintain the value of the car and performance, the mechanic would have to genuine, original replacement parts, that may be hard to find, & prohibitively expensive for buying.
That is when you can locate a repair shop that has a mechanic who has the knowledge of working on such high-end cars. Additionally, auto insurance providers prefer working with those repair shops that are authorized. The place they have chosen might not have a mechanic amongst their who knows how to fix your vehicle. This means even regular fixes might have huge costs alone, then imagine what could be the cost of actual structural damage.
Some auto insurance companies consider automatically that the drivers of exotic & performance cars pose a higher risk. High-risk drivers already pay increased premiums on basic or traditional car insurance UAE. The car collectors consider it unfair that they should get penalized. However, the auto insurance carrier is just making a determination statistically on the basis of the speed and power of your car.
Due to this, a lot of insurance providers deny covering high-end cars altogether. But since in the UAE, you need to have car insurance, you might have to look out for the insurance variously known as import auto insurance, classic auto insurance, specialty auto insurance, or collector auto insurance. Still, there might be some vintage and special vehicles which might be hard to insure.
In case you have a leased or financed the car, ensure that your auto insurance policy comes explicitly with a component known as gap insurance. Though a few people believe that performance and exotic cars do not depreciate in value, the fact is that all kinds of cars depreciate in value. Although this could add up to your premiums further, gap insurance provides cover for the difference between the money you have to pay on loan & the value of your vehicle after considering the amount by which the vehicle has depreciated if the car is stolen.
You should be careful while buying insurance for your dream sports car. Apart from the cost, you might also have to bear maximum reimbursement on the claims that you make on the damage. For replacing the whole cost of your high-end car, you might not get a carrier. Your auto insurance policy must mention the exact maximum liability. Hence, do not put your signature on the dotted line before knowing for sure that you are capable of affording the payment of the amount remaining after the claim.
One element that would not change much between the coverage for an exotic car and that of a traditional car is the deductible. The deductible is the amount that you pay from your pocket for any claim before the auto insurance takes care of the rest.
There are certain ways through which you can save on the car insurance UAE of your exotic and performance car-
Over to You
It can be a little difficult to get insurance for performance or exotic cars. They are not just expensive but also need more specialized and complex repairs in case of damages. Consider the above-mentioned information to know the options for getting your high-end performance car insured in the UAE.