In the UAE, the rise in heavy rain and thunderstorms has led to more frequent property and vehicle damage. But what does your insurance cover when it comes to weather-related mishaps? Let's break it down.
Insurance serves as a safety net against risks, as defined by Article 1026 of the Civil Transactions Law. Generally, damages from rain to homes and vehicles are covered under most insurance policies here. However, the specifics of your coverage depend on the terms of your policy. For instance, if your vehicle insurance is comprehensive and includes protection against rain and natural disasters, you're likely covered.
Similarly, home and property insurance that encompasses all risks, including natural calamities, should provide protection.
But don't forget the fine print. It's crucial to carefully examine your insurance policy's details, as certain situations might be excluded. While heavy rain damage is typically covered, events like storms, hailstorms, and flooding might be exceptions. Ignoring these details could lead to unpleasant surprises when you need to make a claim.
Some situations, like force majeure events, might also have exclusions. According to Article 287 of the UAE Civil Transactions Law, if an event is deemed force majeure and isn't covered, insurance providers might not be liable. However, if your policy explicitly covers natural disasters, the provider may be legally obligated to compensate you.
Claims can be tricky, especially if the damage resulted from negligence. For instance, if your vehicle was parked in a flood-prone area or you drove through a flooded zone, your claim might face scrutiny based on your policy's terms. A notable case in 2021 ruled by the Abu Dhabi Court of Cassation emphasized that force majeure must be the sole cause of damage for exemption.
