Before Buying a Policy in the UAE, Learn the 6 Ps of Insurance!

Ever paid for something you didn’t fully understand?

If your answer is yes, welcome to the world of insurance. You nod along and sign the form, only to find out what’s really covered when life throws a curveball. By then, it’s usually too late.

That’s exactly why you need to remember the 6 Ps of insurance. This isn’t a textbook formula. It’s a smart, simple way to understand what really matters before you commit.

1.) Premium – What Are You Really Paying For?

Let’s start with the most obvious — the premium. That’s the amount you pay for your insurance annually. Simple enough, right? Not quite.

Too often, people focus only on how cheap or expensive a premium is. However, the real question should be:

“What do I actually get for this price?”

A low premium might look attractive. But it could also mean limited coverage, higher deductibles, or more conditions when you make a claim. On the other hand, a high premium doesn’t always mean better protection — sometimes, it just means you're paying for extras you don't need.

Here’s what you should ask before agreeing to any insurance premium —

• What exactly is covered under this amount?
• Are there any hidden fees or extra charges?
• How does the premium change over time?
• Can I reduce the premium without losing essential coverage?

2.) Protection – What Does the Policy Actually Cover?

Here’s the golden rule of insurance: never assume.

Just because you’ve a policy doesn’t mean you’re covered for everything you think you are.

Protection is all about the scope of coverage — what the insurer will pay for if something goes wrong. In the UAE, this can vary significantly between providers, even for the same type of policy.

For example

• A basic health insurance plan may cover hospital stays, but not dental or maternity care
• A third-party car insurance plan might cover third-party liabilities but not natural disasters
• A life insurance plan might not include critical illness unless you add it

That’s why it’s important to ask

• What specific situations are covered?
• Are there limits on certain types of claims?
• Is coverage local, regional, or international?
• Are pre-existing conditions or specific risks excluded?

3.) Policy — The Fine Print That Makes or Breaks It

If protection is what you're covered for, the policy is where it's all written down.

You can consider it a rulebook for your insurance — what’s allowed, what’s not, and how it all works.

But here’s the problem: most people don’t read it. They just get the card or the certificate and toss the rest aside — until a claim is denied and every sentence suddenly matters.

Here’s what you must check in your policy document —

• Inclusions: What situations are covered?
• Exclusions: What is not covered 
• Claim process: How do you report and file a claim? 
• Waiting periods: Some policies have a delay before coverage starts (especially for health or life)
• Cancellation clauses: Can you cancel mid-term if needed? What are the penalties?

4.) Process – How Easy (or Difficult) Is It to Claim?

Buying insurance is easy. Using it? That’s where many people hit a wall.

The process is about real-world experience and how smoothly things go when you need support.

You don’t want to be stuck in a phone queue, filling out forms or chasing approvals. This is especially true when you're already dealing with a stressful situation like a car accident or a sudden loss.

So before you commit to any insurance plan, ask

• How do I make a claim? Is it online, app-based, or manual?
• What documents are needed? Will I need police reports, medical records, or estimates?
• How long does a claim take?
• What is the claim settlement ratio?
• Is there 24/7 customer support? 

5.) Provider – Who’s Really Got Your Back?

All insurance providers may appear similar at first, with glossy websites, promises of ‘fast claims’, and ‘affordable plans’. But behind the branding, not all providers are the same.

A good provider doesn’t just sell you a policy — they stand by you when things go wrong. They explain things clearly. They handle claims fairly. They offer help when you need it most.

Here’s what to look for in a provider —

• Reputation: Check reviews from real customers — not just ratings, but actual feedback on claims, service, and support.
• Regulation: In the UAE, always choose a provider that’s licensed by the Central Bank of the UAE (CBUAE) or the Dubai Health Authority (DHA) for health insurance. This signals compliance with strict standards.
• Customer service: Do they offer support in your language? Are they easy to reach? Do they respond quickly?

6.) Pitfalls – What Most People Get Wrong (and How to Avoid It)

Here’s the truth no one tells you: most insurance mistakes are avoidable. But they happen all the time — not because people are careless, but because they weren’t told what to watch out for.

Here are some common pitfalls when buying insurance in the UAE —

❌ Choosing the cheapest plan without checking coverage

❌ Not disclosing full information

❌ Ignoring the exclusions

❌ Overlooking the waiting periods

❌ Not reviewing the insurance renewal terms

❌ Missing claim submission deadlines

Before You Buy, Think Through the Ps

Insurance isn’t just paperwork — it’s a promise for when life goes sideways. If you understand these 6 Ps, you’re less likely to end up stuck or surprised. Take a little time now, and you’ll thank yourself later. Start today — review your insurance with the 6 Ps in mind and make sure you’re truly protected.