Report

UAE Motor Insurance Market Report and Forecas

214 pages Jan 2025
UAE Motor Insurance Market Rep

UAE Motor Insurance Market Report and Forecast 2032

UAE Motor Insurance Market Size, Share, Analysis, and Report - By Type of Insurance (Third-Party Liability, Comprehensive, Other Insurance), By Application (Commercial Vehicle, Per...sonal Vehicle), By Vehicle Age (New Vehicles, Old Vehicles), By Distribution Channel (Insurance Agents/ Brokers, Direct Response, Banks, Others), and Others Read more

  • Automotive & Transport
  • Pages : 214
  • Jan 2025
  • Report Format :  

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UAE Motor Insurance Market Insights & Analysis

The UAE Motor Insurance Market is anticipated to register a CAGR of around 4.11% during the forecast period, i.e., 2025-32. Along with this, the market is valued at USD 1.94 billion by 2032. In the insurance industry, motor insurance is the most dynamic sector in the United Arab Emirates (UAE). Automobiles that travel on national roads, including cars, trucks, motorbikes, and several others, are covered by this type of insurance. Its primary goal is to provide monetary protections for auto damage & any injuries that drivers & passengers might sustain in traffic accidents. The government of the UAE has executed strict laws requiring auto insurance owing to a noteworthy increase in accident rates. Also, together with a firm surge in car sales, these aspects are predicted to drive the UAE Motor Insurance Market's growth.

Moreover, the insurance industry's most dynamic market in the United Arab Emirates is motor insurance. Such insurance covers motorbikes, trucks, cars, and other automobiles that travel the country's roads. Its major objective is to offer financial protection for potential injuries to drivers & passengers in traffic accidents, as well as for harm to vehicles. The UAE is witnessing a substantial surge in the sales of cars & other motor vehicles, which is boosting the Motor Insurance Industry. Further, nearly 200 thousand new cars have been sold across the country this year, this number is projected to elevate owing to a consistent upgrade in personal disposable income & an overall improvement in living standards.

UAE Motor Insurance Market FY32

Description of Image
  • Study Period: 2020- 2032

  • Base Year: 2024

  • CAGR(2025-2032): 4.11%

  • Market Value 2032: USD 1.94 Billion

  • Major Players: Abu Dhabi National Insurance Company, Al Buhaira National Insurance Co, Al Dhafra Insurance Company, Assicurazioni Generali S.P.A., Emirates Insurance Company, Islamic Arab Insurance Company, National General Insurance Co. (P.S.C), Orient Insurance PJSC, and Others 
 

Furthermore, mounting urbanization, strong car sales, and the rising popularity of electric cars (EVs) are some of the key growth drivers. Also, to satisfy tech-savvy consumers, insurers in the UAE are streamlining policy issuing, claims handling, and client interaction by employing digital platforms. Besides, the UAE Insurance Authority's regulatory reforms, which consist of harmonized premium rates & other customer protection measures have stimulated market stability & transparency. Nevertheless, with challenges like fierce rivalry, pricing wars, and fraud threats, the UAE Motor Insurance Market has substantial growth potential owing to progressions in telematics, usage-based insurance (UBI), and customized plans for a range of client necessities.

UAE Motor Insurance Market Dynamics

  • High Occurrence of Road Accidents to Drive the UAE Motor Insurance Market

The industry for motor insurance in the UAE is generally compelled by the high frequency of traffic accidents, which highlights the requirement for comprehensive coverage to decrease financial risks. Owing to the UAE's dense traffic, rapid urbanization, and congested road systems, traffic accidents are somewhat common, which increases the requirement for comprehensive auto insurance plans. Also, stringent laws requiring auto insurance for all cars upsurge this demand even more. Furthermore, insurers are also addressing the risks related to traffic accidents by implementing customized plans & cutting-edge technologies, such as telematics-based insurance. Further, the demand for dependable auto insurance is predicted to elevate as urban mobility & road safety awareness rise, driving the UAE Motor Insurance Market ahead.


UAE Motor Insurance Market Report and Forecast 2032

  • Low Penetration of Add-On Covers to Limit the Market Demand

One primary concern hampering the growth of the UAE Motor Insurance Market is the low penetration of add-on coverage. Further, despite the extensive purchase of comprehensive auto insurance plans, add-on coverages such as engine protection, roadside assistance, and zero-depreciation coverage are still often used. The primary causes of this are customers' lack of knowledge about the benefits of these extra coverages & their belief that they are superfluous or excessively expensive. Moreover, numerous insurers concentrate on basic policy sales rather than aggressively promoting these add-ons. Also, in addition to limiting insurers' prospects for revenue growth, the underutilization of these value-added services leaves policyholders without sufficient protection in some circumstances, like natural disasters or mechanical breakdowns.

UAE Motor Insurance Market Segment-wise Analysis

By Type of Insurance:

  • Third-Party Liability
  • Comprehensive
  • Other Insurance

Owing to the region's high requirement for comprehensive coverage & preference for premium insurance items, Comprehensive insurance is the most prevalent section of the UAE Motor Insurance Market. Moreover, broader protection is provided by comprehensive auto insurance, which covers damage to the insured car from theft, fire, accidents, and natural catastrophes in addition to third-party liability. This makes it pleasing across the UAE, where a substantial section of the populace purchases expensive cars & seeks dependable financial loss protection. Also, the popularity of comprehensive coverage has been driven by the legislative needs for auto insurance as well as the competitive offerings from insurers, including value-added services, such as vehicle replacement & roadside assistance.

By Application:

  • Commercial Vehicle
  • Personal Vehicle

The Personal Vehicle is predicted to uphold the potential share of the UAE Motor Insurance Market in the forecast years. This is attributed to the authorized motor insurance legislation & the high rates of private vehicle ownership. The wealthy population of the United Arab Emirates & their robust inclination for personal vehicles as status symbols drive a significant demand for automotive insurance across this market. Moreover, the government's requirement that all vehicles carry at least third-party liability insurance guarantees a constant flow of policyholders in the personal vehicle industry. Further, as owners want complete coverage, the increasing acceptance of luxury & expensive cars upscale demand for comprehensive motor insurance policies.

What Does Our The UAE Motor Insurance Market Research Study Entail?

  • The UAE Motor Insurance Market Research Report highlights the forecast growth rate or CAGR by anticipating the market size & share.
  • The market analysis puts light upon the primary industry trends, driving aspects, potential opportunities, growth challenges, and other major factors.
  • The UAE Motor Insurance Market Research Report entails details about the most critical shifts in market share in the prominent regions.
  • Considering the statistics & the developments by the primary market competitors, our report also strives to demonstrate the most sought-after strategies of the key players.


Table of Contents

  1. Introduction
    1. Objective of the study
    2. Product Definition
    3. Market Segmentation
    4. Study Variables
  2. Research Methodology
    1. Secondary Data Points
      1. Companies Interviewed
    2. Primary Data Points
      1. Break Down of Primary Interviews
  3. Executive Summary
  4. Market Dynamics
    1. Drivers
    2. Challenges
    3. Opportunity Assessment
  5. Recent Trends and Developments
  6. Policy and Regulatory Landscape
  7. UAE Motor Insurance Market Overview (2020-2032)
    1. Market Size, By Value (in USD Billions)
    2. Market Share, By Type of Insurance
      1. Third-Party Liability
      2. Comprehensive
      3. Other Insurance
    3. Market Share, By Application
      1. Commercial Vehicle
      2. Personal Vehicle
    4. Market Share, By Vehicle Age
      1. New Vehicles
      2. Old Vehicles
    5. Market Share, By Distribution Channel
      1. Insurance Agents/ Brokers
      2. Direct Response
      3. Banks
      4. Others
    6. Market Share, By Region
      1. North
      2. East
      3. West
      4. South
      5. Central
    7. Market Share, By Competitors
      1. Competition Characteristics
      2. Revenue Shares
  8. UAE Third-Party Liability Motor Insurance Market Overview, 2020-2032F
    1. By Value (USD Million)
    2. By Application- Market Size & Forecast 2019-2030, USD Million
    3. By Vehicle Age- Market Size & Forecast 2019-2030, USD Million
    4. By Distribution Channel- Market Size & Forecast 2019-2030, USD Million
  9. UAE Comprehensive Motor Insurance Market Overview, 2020-2032F
    1. By Value (USD Million)
    2. By Application- Market Size & Forecast 2019-2030, USD Million
    3. By Vehicle Age- Market Size & Forecast 2019-2030, USD Million
    4. By Distribution Channel- Market Size & Forecast 2019-2030, USD Million
  10. UAE Other Insurance Motor Insurance Market Overview, 2020-2032F
    1. By Value (USD Million)
    2. By Application- Market Size & Forecast 2019-2030, USD Million
    3. By Vehicle Age- Market Size & Forecast 2019-2030, USD Million
    4. By Distribution Channel- Market Size & Forecast 2019-2030, USD Million
  11. Competitive Outlook (Company Profile - Partila List)
    1. Abu Dhabi National Insurance Company
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    2. Al Buhaira National Insurance Co
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    3. Al Dhafra Insurance Company
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    4. Assicurazioni Generali S.P.A.
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    5. Emirates Insurance Company
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    6. Islamic Arab Insurance Company
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    7. National General Insurance Co. (P.S.C)
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    8. Orient Insurance PJSC
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    9. Sukoon Insurance
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
    10. Union Insurance Co.
      1. Company Overview
      2. Business Segments
      3. Strategic Alliances/Partnerships
      4. Recent Developments
  12. Contact Us & Disclaimer

Companies Mentioned

  • Abu Dhabi National Insurance Company 
  • Al Buhaira National Insurance Co 
  • Al Dhafra Insurance Company 
  • Assicurazioni Generali S.P.A. 
  • Emirates Insurance Company 
  • Islamic Arab Insurance Company 
  • National General Insurance Co. (P.S.C) 
  • Orient Insurance PJSC 
  • Sukoon Insurance 
  • Union Insurance Co. 

Frequently Asked Questions

   A. The UAE Motor Insurance Market is anticipated to witness a rise at a CAGR of around 4.11% during the forecast period, i.e., 2025-32.

   A. The high occurrence of road accidents to drive the UAE Motor Insurance Market outlook through 2032.

   A. The low penetration of add-on covers to limit the UAE Motor Insurance Market.

   A. The leading companies in the UAE Motor Insurance Market are Abu Dhabi National Insurance Company, Al Buhaira National Insurance Co, Al Dhafra Insurance Company, Assicurazioni Generali S.P.A., Emirates Insurance Company, Islamic Arab Insurance Company, National General Insurance Co. (P.S.C), Orient Insurance PJSC, Sukoon Insurance, Union Insurance Co., and Others.