7 reasons to buy life insurance in the UAE

Are you wondering if you should buy Life Insurance in the UAE?

Life insurance provides financial protection to you and your loved ones in the event of your death. It helps you provide for them and fuel their dreams and aspirations even after you are long gone. 

Here are 7 Reasons to Buy Life Insurance in the UAE.

No Currency Depreciation Risk 

Life Insurance companies in the UAE offer policies in currencies like USD, GBP, Euro AED, BHD, and QAR. Buying a policy in your preferred currency helps you mitigate currency risk.

No repatriation Challenges

Compared to many countries, there are no challenges for repatriating insurance proceeds out of UAE. This helps families plan their lifestyles and cashflows efficiently and make payments for various purposes like education and property investment from the insurance proceeds out of the UAE. 

Broad Scope and International Cover

Life insurance policies in the UAE typically provide global coverage, a broad scope of critical illness, and other living benefits. You can continue to hold, manage and claim the policies from anywhere except active war zones or UN-sanctioned countries. 

Affordable Premiums

Given the global cover and broad scope, the UAE's premiums on Life insurance policies are relatively affordable.

Efficient Service and Hassle-Free Claim Process

Many international and regional insurance providers in the UAE provide an efficient application process, seamless after-sales service, and a hassle-free claim process. 

For Eg: Zurich International Life Ltd has paid out claims to 70 countries in the last three years, according to the Benefits Paid Report - 2023.

Wide range of Coverage options to choose from

In the UAE, you can avail of one of the following three life insurance options;

• The Whole Life insurance
• Term Life Insurance 
• Endowment Plans 

You can also enhance the scope of coverage by adding optional riders like;

• Critical Illness Benefit
• Permanent and Total Disability Benefit 
• Waiver of Premium
• Accidental Death Benefit 
• Fixed-Term Income Benefit
• Family Income Benefit

Stringent Regulations and Compliance Requirements

Insurance providers and financial advisory firms are licensed and regulated by the Central Bank and UAE Insurance Authority. They are required to maintain transparency and high service and compliance standards. 

If you are considering buying life insurance, comparing different policies and getting quotes from multiple insurers is essential. 

Working with a financial advisor to find a policy that meets your specific needs and budget would be best.

Here are some additional tips for buying life insurance in the UAE:

• Shop around and compare different policies. Many different life insurance policies are available in the UAE, so shopping around and comparing different policies before buying is a good idea.
• Read the Terms and Conditions. Read and understand the scope and limitations of the policies before buying.
• Work with a financial advisor. A financial advisor can help you understand your needs and find a policy meeting your requirements.
• Consider your budget. Life insurance premiums can vary depending on the policy type, the coverage amount, and your age and health. It is essential to consider your budget when you are buying life insurance.
• Buy a policy that is right for you. Many types of life insurance policies are available, so buying a policy that is right for you is essential. Consider your needs, budget, and lifestyle when you are buying life insurance and your future residency/immigration situations.

Life insurance is a significant financial protection that can provide peace of mind for you and your loved ones. By following these tips, you can buy life insurance that meets your needs and budget.

You can also schedule a free consultation with me to learn about life insurance and get instant quotes.

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