Home Insurance - The Definitive Guide for UAE Tenants & Homeowners (50 FAQs)

What is home insurance?

A type of property insurance that protects your residence and its contents from financial loss due to damage, theft, or other listed perils.

Is home insurance mandatory in the UAE?

No, it is not legally mandatory for residents. However, if you have a mortgage, your bank will require you to have building insurance.

I'm a tenant renting an apartment. Do I need home insurance?

Yes, absolutely. Your landlord's insurance covers the building's structure, not your personal belongings (furniture, electronics, clothes, jewelry). You need tenant or contents insurance.

What are the main types of home insurance policies?

There are three main components: Building Insurance, Contents Insurance, and Personal Belongings Insurance.

What is Building Insurance?

This covers the physical structure of your property, including walls, roof, floors, windows, and permanent fixtures like kitchen cabinets and bathroom suites. This is for property owners.

What is Contents Insurance?

This covers all the movable items inside your home that you would take with you if you moved. This is for both tenants and homeowners.

What is Personal Belongings Insurance?

Often an add-on, this covers items you take outside the home (like laptops, phones, watches) against theft and accidental damage, often on a worldwide basis.

What is 'Personal Liability' cover?

This is one of the most important parts of a home insurance policy. It protects you financially if you are found legally liable for accidentally causing injury to someone or damage to their property.

Give me an example of a Personal Liability claim.

A water pipe bursts in your apartment, and the leak damages the ceiling and furniture of your neighbor below. Your liability cover would pay for their repairs. Another example: a guest slips on a wet floor in your home, gets injured, and sues you for medical costs.

Is home insurance expensive in the UAE?

No, it is surprisingly affordable. A good contents insurance policy for an apartment can often cost less than 300 AED for an entire year.

What common perils are covered by a standard policy?

Fire, lightning, explosion, theft (following forcible entry), vandalism, storms, floods, and escape of water from pipes or tanks.

Is accidental damage covered?

Basic policies may not include it. Accidental Damage cover is a common and highly recommended add-on that covers incidents like spilling paint on a carpet or a child breaking a TV.

What is 'Alternative Accommodation' cover?

If your home becomes uninhabitable due to a covered event (like a fire or major flood), this benefit pays for the cost of temporary housing (e.g., a hotel or rental apartment) while your home is being repaired.

What does 'Tenant's Liability' cover?

This protects you, the tenant, if you accidentally cause damage to the landlord's property and fixtures. For example, if you start a small kitchen fire that damages the cabinets.

Are my domestic helpers covered?

Many home insurance policies include cover for the personal belongings of your domestic staff who live with you. Some also include a liability benefit in case they are injured while working in your home.

What about my pets? Are they covered?

The policy won't cover vet bills. However, your Personal Liability cover may extend to situations where your pet causes injury to a third party or damages their property.

Are items in my garden or on my balcony covered?

This varies. Policies for villas often include a small amount of cover for garden furniture, but items on an apartment balcony might have limited or no cover. Always check the policy details.

I work from home. Is my work equipment covered?

Usually not. Personal home insurance policies typically exclude items used for business or professional purposes. Your employer would need to have separate business insurance for this equipment.

What is 'New for Old' cover?

This means if a covered item is damaged beyond repair, the insurer will pay for a brand-new replacement of a similar kind and quality, without deducting for wear and tear. Most UAE policies are 'new for old'.

Are high-value items like jewelry or art automatically covered?

No. Standard policies have a 'single article limit,' which is the maximum they will pay for any one item (e.g., 5,000 AED). You must 'specify' or list expensive items separately on the policy to have them fully insured for their appraised value.

What are the most common exclusions in a home insurance policy?

General wear and tear, damage from pests (termites, etc.), poor maintenance, intentional damage, damage that occurs while the property is unoccupied for an extended period (usually >60 days), and damage from construction work.

Is damage from a leaky A/C unit covered?

This is a grey area. If the leak was sudden and accidental, it's often covered. If it was a slow, gradual leak due to poor maintenance, it likely won't be covered.

My home was burgled, but there was no sign of forced entry. Am I covered?

This can be difficult to claim. Most policies require evidence of forcible and violent entry or exit to cover theft.

Does the policy cover the cost of my rent if I'm a tenant and have to move out?

The 'Alternative Accommodation' benefit covers the cost of your temporary housing. Some policies may also cover the rent you still have to pay on your uninhabitable apartment, up to a limit.

Is mold damage covered?

Generally, mold that results from a sudden, covered water damage event (like a burst pipe) is covered. However, mold that grows over time due to high humidity or poor upkeep is considered a maintenance issue and is excluded.

How do I calculate the amount of contents cover I need?

The best way is to go room by room and make a realistic estimate of what it would cost to replace everything you own with new items today. People often underestimate this value.

What happens if I under-insure my contents?

What information do I need to get a quote?

What is 'reconstruction cost'? How is it different from market value?

What should I do if my home is damaged or burgled?

• Ensure everyone's safety.
• For theft or vandalism, report it to the police immediately to get a police report.
• Take photos and videos of the damage before cleaning up.
• Notify your insurer as soon as possible

What documents do I need for a claim?

A completed claim form, photos of the damage, a police report (for crime-related claims), and proof of ownership or value for expensive items (receipts, valuations).

Should I keep receipts for my valuable items?

Yes, it is highly recommended. Keeping receipts, photos, and any valuation certificates makes the claims process much smoother.

Can I choose my own contractor for repairs?

The insurer may have a network of approved contractors. You can request to use your own, but the insurer will need to approve the quote before work begins.

How long do I have to file a claim after an incident?

You should notify the insurer immediately or as soon as reasonably possible. There is usually a time limit stated in the policy, often within 30 days.

What is the 'Deductible' or 'Excess' in home insurance?

The fixed amount you must pay towards each claim. For example, if your deductible is 250 AED, and you have a claim for 2,000 AED, you pay 250 AED and the insurer pays 1,750 AED.

My apartment building has insurance. Do I still need my own?

Yes. The building's insurance (strata insurance) covers the common areas and the main structure. It does not cover your contents, your personal liability, or any improvements you've made inside your apartment.

Does home insurance cover damage from sandstorms?

Damage caused by the storm, such as a window breaking from high winds, is typically covered. However, dust or sand entering the home through gaps is generally not covered.

I'm leaving the UAE for the summer. Is my home still insured?

Most policies have an 'unoccupancy clause.' If your home is left vacant for a continuous period (e.g., more than 60 days), your cover may be restricted or void. You must inform your insurer about extended absences.

My freezer broke down while I was on holiday, and all the food spoiled. Is that covered?

Many policies include a 'spoilage of food' benefit that covers the cost of replacing food from your freezer/fridge due to a power outage or mechanical failure.

Does the policy cover my belongings if they are in a moving truck?

Not usually. You would need separate 'goods in transit' insurance from the moving company for that.

I live in a villa. Is my swimming pool or garden shed covered?

Building insurance for villas often extends to outbuildings like sheds and garages, and permanent fixtures like swimming pools and boundary walls. Check the specific terms.

Does the policy cover the loss of my keys and the cost of changing locks?

This is often included as a small, additional benefit in many home insurance policies.

Is damage from a building fire covered, even if the fire started in another apartment?

Yes. Your contents policy would cover the damage to your belongings from smoke or water used by the fire department, regardless of where the fire started.

Can I get a discount for having good security (e.g., alarm system, high-security locks)?

Some insurers may offer a small discount if you have a certified home security system installed.

What's the difference between buying from an aggregator like Shory vs. a bank?

A bank may only offer one option. An aggregator like Shory provides multiple quotes from different insurers, allowing you to transparently compare Home Insurance prices and benefits to find the best value.

Can I cancel my home insurance policy?

Yes, you can cancel at any time and will usually receive a pro-rata refund for the unused portion, less a cancellation fee.

How do I renew my policy?

Your insurer will send you a renewal notice. However, it's always best to compare the market on a platform like Shory before renewing to ensure you're still getting the best deal.

If I buy more expensive items during the year, do I need to update my policy?

Yes. You should contact your insurer to increase your total contents sum insured to avoid being under-insured. If you buy a specific high-value item, you should have it added as a 'specified item'.

Can I pay my home insurance premium in installments?

While less common than for car insurance, some providers are starting to offer this. It's an option to look out for at the time of purchase.

Why should I trust Shory for my home insurance?

Shory makes protecting your home simple. We remove the jargon, show you clear comparisons from trusted UAE insurers, and let you buy a comprehensive Home Insurance policy online in minutes, giving you instant peace of mind.