Let's Talk About Insurance for Your Pre-Owned Second-Hand Car

Insurance saves you from sleepless nights and from making a hole in your pocket during unexpected disasters and emergencies whether a new car or a second-hand one. 

Not all people around the globe are able to afford a brand-new car. Where a new car can take a toll on your savings, a better option is to go for second-hand cars. Pre-owned second-hand cars are more affordable and so is the yearly premium amount to be paid against it. 

Know about insurance for pre-owned cars before buying them

Before heading to buy a second-hand car, you need to know about insurance for a pre-owned car in Dubai. Here are some points that need to be checked before settling for a deal on your second-hand car purchase. 

Driving license 

In Dubai or any other city in the UAE, it is mandatory to have a UAE-issued driving license or a residence permit to insure or register a used car. An international driving license would permit you only to drive a rental car but not to purchase or use a second-hand or new car in your name. 

Getting online insurance

You would not have to hop around insurance offices and physically compare offers and plans as it would be too time-consuming. The best is to visit websites of various car insurance companies or log on to comparison sites that give you a comprehensive idea about the various insurance plans, premiums to be paid, documents required, and so on. Hence, if you are looking for insurance for a pre-owned car in Dubai, you can do it from the comfort of your couch. 

Important tips

  • In the case of quite an old second-hand car, third-party car insurance could be a better option. However, if it’s a pre-owned luxury or sports car that you decide to buy, comprehensive insurance would work better as the maintenance costs of these cars are high.
  • When buying insurance for your pre-owned car, ensure that you know the additional benefits you are eligible for against the money you pay on the premium. These may include roadside assistance, validity for GCC states, emergency fuel delivery, windscreen damage protection, etc. 

Be careful while buying a second-hand car in Dubai

Buying a second-hand car can provide you relief when on a tight budget however, remember that it is very easy to fall prey to used car scams. Here are some dos and dont’s you must follow when buying a pre-owned second-hand car in Dubai to avoid such scams.

  • Never pay upfront deposits 

There are chances that your seller would disappear if you happen to pay them an upfront deposit. However, in genuine cases, if you need to pay an advance for your booking, make sure to ask for a copy of their Emirates ID and a proper receipt of the money paid.

  • Pay the seller only after the transfer of ownership has taken place

 Only after the ownership of the vehicle has been transferred at the Road and Transport Authority (RTA), should you pay the seller for the transaction.

  • Check for an outstanding loan

Ensure to check for any outstanding loans of the previous owner used for the purchase of the car to avoid getting conned into paying it. 

  • Check the warranty

Ensure that the warranty on the car is valid and is not about to expire soon.

  • Get a proper inspection of the car done

 Check the odometer and look for repairs after any major accidents. Test drive the car, undergo an RTA check, get transfer of car registration done, and even check for insurance validity before you finalise the deal when shopping for a pre-owned used car in Dubai.

Final Take

There are a variety of cars available to choose from, including luxury cars, sports autos, and family SUVs. However, people with a limited budget often opt for pre-owned or second-hand cars that are affordable and functional. 

The best places to look for such options are second-hand car dealerships, online websites, and classified ads. Whatever the case, ensure complete research before you put your hard-earned money on a used car. Assess its market value, vehicle history, and get a car inspection done thoroughly. 

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