As prospective business owners, it is very vital that they put into consideration the insurance coverage of their business in the planning stage of the business. So many business owners in The United Arab Emirate most especially the Real Estate business owners failed to recognize the importance of insuring their business before they get started. They see it as unnecessary or too expensive to run and as a result of this they cause more harms to their business than they think. According to the survey conducted by (2015) they discovered that 86 per cent of the UAE don’t have home content insurance. In the survey, almost 45 per cent consider it to be not a primary issue. To be successful in the real estate business as a properties owners or a broker you need to consider the insurance policies that are necessary to your business to have a strong retention and fast growth in your business.

Deciding Adequate Insurance Coverage

In adequate to the Dubai health insurance law No. 11 (2013), which stated that the sponsor has the legal right to make provision for the necessary insurance packages that every employee have access to suitable insurance cover. There are some certain things you need to put in mind in deciding the adequate insurance cover for your chosen businesses before proper planning can be carried out. Five things to be considered in planning insurance coverage are:

Package Benefits

Apart from the budget, it is necessary to differentiate the right health insurance plan that provides the true package and benefits for your business and employee. There are variable that is available to be chosen from when making decisions.

Despite the fact that the health insurance plan covers the UAE, this does not denote that the policies covered every hospital in the country. This is the reason it is necessary to check the list of hospitals and clinics under the insurance companies’ medical network to ensure that the right one is not at the disadvantage to your company and to your prospective workers in the term to nearer to their locations and the company location. The less time your worker’s research and have a quick access to the hospital or clinic, this will make them be happy with your company and the faster it becomes for them to get their tasks done. It is of important to select the best alternative among the medical network package list to provide your workers with the straightforward access to the services in lieu of them settle with all the paperwork and monitoring the insurance company for recompense and if this is not avoided it reduced the productivities of the workers and the company will reduced in profit making.

Here are some guides that will help prospective business owners to find packages of their choice.

The first guide is to motivate your employees or workers to be more open with their medical record history that contains their health. This will assist the company and the employee’s interest. It will be unfair if clear details of their health are not given at the initial consultation and later come back with strange treatment. This can lead to the rejection of the worker.

There are various insurers with non-identical policies with various benefits and also with many perils that need to be examined prudently.  Juxtapose between the insurance policies in the real time through renowned companies before you decide the adequate insurance.

Carry out more details reviewing some number of insurers to find which offer the better policies.

Evaluate the present conditions and unexpected costs

Some companies fail to make enquiring from their employer about their previous medical history to help them plan for the future unexpected costs. Many insurance companies covered 100% for pre-existing conditions and some companies pre-defined medical history and they have a limitation at which they can offer. It will be good every detail is clarified before the adequate conclusion is made to save the company unnecessary headaches.

International Prove

You need to put into consideration if the company required traveling abroad outside the UAE often, ensuring that the chosen insurer company offers the extension of their services in the proposed countries of your choice.

To avoid choking up with a huge amount of money when you need medical attention while you are away on a trip abroad, you need to select a plan that has international coverage.

Coverage Continuation

Coverage Continuation needs to be ensured during the initial consultation to ensure that employees’ interests are guided by policies discontinuation when changing to another insurer. This will help protect the recipient from barring or unnecessarily prolong periods for an illness that happened during the time of coverage period. The renewal agreement will guarantee that they can proceed without stopping their initial coverage and then start another new waiting periods and exceptions to avoid paying the extra premium. Employers are encouraged to enter such an agreement to ensure the uninterrupted wellbeing of their workers or employees. The more time you stay with your insurance donor, the finer you become. The insurance companies will not refuse a continuity of the policies if at all worker has developed persist medical condition so long the employee has been allowed into the plan. Renewal price might not be every year.

Seasonal Market Research and Analysis

Seasonal market research needs to be carried out all the time on the various plans from different insurance before you renew the existing one or policies just to ensure that you choose the best at that particular period for your employees. This will make the employer be certain that they are getting the upmost benefits on their healthcare. Most of the time, many competitors provide the same benefits with the same amount, lower or higher. Sometimes, this research is necessary and time consuming but at the same time it helps the company to discover a new technology that might enhance the growth of the company with smart insurance policies or programs in real- time.

These five things are not limited to a particular industry. It is applicable to all industry in choosing any type of insurance coverage for any industry or company of your choice. Where the difference comes to play is that there are different policies for a particular industry or company depending on the risk involved. For example, the insurance policies for the Shipping industry and that of the manufacturing industry must be different in terms of monetary involvement in buying the premium.

For this write up, I will be limiting it to Real Estate Industry. As real estate agent or property manager, you will need an insurance coverage that will cover the Buildings you are managing, the employees that are working with you and other company properties like motor vehicles for running around, offices and computer systems.

Why you need insurance Coverage for your real estate business in UAE

Employee’s Healthcare coverage

The most valuable asset that a company has is the human resource. Business owners need to make life convenient for their workers to increase their productivities to growing. As they say that health is wealth and without a good health employees will be limited in their daily productivities to make the company achieved their goals.  A lot of companies pay more attention to their workers’ health and provide them with a conducive environment that will make the business to be more successful or thrives. If the healthcare of employees is lower the rate of turnover will be also lower.

Buying premium health insurance for your employees differs from one company to another and the amount you pay depends on the size of the company. A thorough finding and calculations need to be carried out before deciding which you will go to have a quality healthcare for your workers.

Property Insurance coverage

Building properties, Business establishment, Warehouses, Factories, offices and both the fixed and unfixed properties are at risk of losses caused by natural disasters and industrial disasters which can be insured with Insurance companies. Property insurance includes the comprehension of the risks that your properties are exposed to which need to be single out and protected. Adequate solutions need to be provided to meet the nature of losses and related peril which differ for different activities that are carried out on a daily bases.

Buying premium property insurance for your company properties differs from one company to another and it depends on the size of the company and the risk involved. The more the risk the more the amount of the premium you purchase. But in the case of home owners in dubai, they have an affordable premium that covered their home. As for cheat as it is some many home owners still it difficult to secure for disasters.

There are three types of coverage home insurance policies provide in the UAE and they are very affordable. As a real estate business owner it is very cheating to get premium insurance for your properties to avoid putting your investment into risks.

The following are the three types of insurance coverage:

  1. Building coverage: This is the type of insurance coverage that covered the physical premises of a building and it compulsory to have it whether if you owner or a tenant.
  2. Home contents coverage: This is a coverage that covered the internal contents of the home like furniture, household properties and devices. It is appropriate for the home owners and tenant to have this premium.
  3. Personal belongings coverage: This is the type of coverage that covered your personal properties that is inside the home as a tenant or as an occupant and these are personal electronic devices like your smartphone, camera, television or laptop and jewelry, and other gadgets that are moveable outside the home.

There are different risks around us and our home like earthquakes, rainstorm, fires, flooding, thieves etc. You can conceptualize the kind of emotional stress investors go through when they lose their life earning investment without any compensation from anywhere because they failed in their obligation to insure their properties for unplanned future occurrences. As a future business owner, you endeavor to learn from the past mistakes of others that have to lose a lot of properties as a result of avoidable mistakes that cause them misfortunes. Getting a home insurance coverage as low as Dh1 per day on the insurance premium could go a long to save us a fortune.

Let us do some mathematics analysis insuring your home, its contents and also your personal belongings:

                      Home insurance premium for the home owner

The worth of insured property and Item s

Insurance premium

(Building content& personal belonging )

Cost of insurance in percentage.

The type of property Building Contents Personal Belonging
Apartment Dh10,500,000 Dh200,000 Dh50,000 Dh8600 0.08%
Villa Dh15,300,000 Dh200,000 Dh50,000 Dh9330 0.06%


Apartment=Building+content+Personal Belonging*0.08100%





Therefore, total premium for the year is Dh8600

For the the owning a property of this amount you just pay a token of Dh860 per annum to insured your properties.

Villa=Building+content+Personal Belonging*0.06100%





The total insurance premium for owning the worth of this apartment per year is Dh9330

Home insurance premium

The worth of property insured and Items Insurance premium

(Contents +personal belonging )

Cost of insurance

 In percentage.

Type of property Contents Personal belonging
Apartment/Villa Dh70000 Dh30000 Dh600 0.6%

Apartment/Villa=content+Personal Belonging*0.6100%





The total insurance premium for a tenant with the worth of properties of about Dh100000 is just Dh600.

If you are a property owner in UAE like Building Apartment or Villa, You make likely be paying an insurance premium of 0.06 per cent to 0.08 per cent per year with the combination of the total value of the contents in the building or home and personal belonging.

 Doesn’t seem expensive at all!

If you are a tenant in UAE, it is cheating to buy insurance premium to project the contents and personal belonging too. You pay just only 0.6 per cent to insure your properties yearly.

It is shown from the about calculation that it is cheating and affordable to protect your property for an unforeseen disaster of any kind.

You do not know which time you will make use of it, but the most important thing is that when it has happened it save hundreds or thousands even millions of dirhams (Dh).



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