GIG Gulf Launches War Cover for UAE Car Insurance

Growing geopolitical uncertainty has pushed many UAE drivers and businesses to ask a new question: “Would my car insurance pay if my vehicle was damaged in a war‑related event?” Earlier, the answer has been no war risks are usually excluded from standard motor policies.

To address this emerging concern, GIG Gulf has introduced a dedicated war cover add-on for personal motor insurance and selected fleet policies in the UAE. The additional cover is designed to provide protection against certain war-related risks that may otherwise fall outside the scope of a standard motor policy. Here is what UAE car owners should know before considering it.

What Is GIG Gulf’s New War Cover?

GIG Gulf’s war cover is an optional add‑on you can bolt onto eligible comprehensive motor policies. It is designed to cover direct damage to your own vehicle caused by defined war‑related events within the UAE.

Key specifications of the product:

1. Available on selected comprehensive products: Motor Prestige, Motor Perfect Plus and Motor Perfect
2. Eligible vehicles: private saloon, sedan, SUV or 4WD
3. Territory: UAE only, for the same period as your main motor policy
4. Cost: +0.5% of your premium and not a flat fee
5. Sum insured options:

• Up to full vehicle value less normal depreciation
• AED 100,000
• AED 50,000

Why Is War Cover Relevant to UAE Car Owners?

Historically, war and related risks have generally been excluded from standard car insurance policies in the UAE. As a result, this coverage gap was not a major concern for most drivers earlier.

With current regional tensions rising, both individual motorists and fleet operators are reassessing exposures linked to conflict, civil unrest or organised uprisings.

This shift in awareness has also led to increased enquiries about war-risk motor cover, particularly from businesses that rely heavily on vehicle fleets, including logistics companies, corporate transport operators, and other organisations where vehicles are essential to day-to-day operations.

What Does GIG Gulf’s War Cover Protect Against?

GIG Gulf’s war cover car insurance add-on is designed to provide cover loss or damage to your car arising from:

• Fighting between countries, even without an official declaration of war
• Invasion by a foreign power
• Civil war, rebellion or revolution
• Major civil unrest that escalates into an organised uprising
• A military or other group forcibly taking control of a government

In simple terms, the add-on is intended to address specific war and political violence-related risks that would generally fall within the war exclusions of a standard motor insurance policy 

Is War Damage Covered Under Standard Car Insurance in the UAE?

While this is not covered in a standard car insurance policy, as your typical comprehensive car insurance in the UAE is built to cover typical road risks such as accidents, fire, theft, certain natural perils if not included in organized conflict or invasion. 

GIG’s war cover as an add-on for your car insurance exists specifically to fill this gap for those who want it.

What Is Not Covered Under the War Insurance?

GIG lists several important exclusions for its war add‑on third‑party liability as it only covers your own vehicle, not injuries or damage to others

• Damage from radioactive, nuclear or atomic sources
• Goods carried for trade or business
• Airport/airside operations
• Any loss within, or within 500 m of, a military base, defence site or marine port
• Certain vehicle categories, including taxis, commercial/public transport vehicles, rental vehicles. Government or embassy‑owned vehicles

What Should UAE Car Owners Consider Before Buying War Cover?

Before adding war cover to your car insurance, think about:

1. Vehicle value and type

Higher‑value cars may justify the extra 0.5% more easily than very old, low‑value vehicles.

2. Eligible use

Remember it’s for private sedans/SUVs/4WDs only, not taxis or rental cars.

3. Budget and priorities

Would that additional premium be better spent strengthening other aspects of your cover (e.g., lower excess, hire car benefit, wider roadside assistance), or do you specifically want this rare risk addressed?

4. Policy terms

The non‑cancellable, non‑refundable nature and waiting period may matter to some buyers.

Could War Cover Become More Common in UAE Motor Insurance?

Given the rise in enquiries and the fact that GIG is already extending this option to both individuals and selected commercial fleets, industry commentators expect other insurers to explore similar offerings as regional risk perceptions evolve.

For now, war cover remains a specialist add‑on, but products like GIG’s indicate how the UAE motor market adapts to new risk themes.

How to Review Your Car Insurance During Changing Market Conditions

In periods of uncertainty, it is sensible to:

• Re‑read your current policy to confirm what is (and is not) covered.
• Consider whether you need to upgrade from third‑party to comprehensive. Add or adjust benefits such as roadside assistance, hire car, natural perils or now war cover
• Compare options from multiple insurers or via a regulated broker to see who offers relevant add‑ons and at what cost.

War cover should be seen as one part of a broader protection strategy, not a replacement for robust day‑to‑day cover.

How to buy War Cover Add-on from InsuranceMarket.ae?

1. Check if Your Policy Eligibility 

War Cover is available as an add‑on to selected GIG Gulf comprehensive products and for specific vehicle types only.

2. Decide When You Want to Add War Cover

You can add War Cover via InsuranceMarket.ae:

1. When getting a new GIG Gulf quote, during the online quote journey, or when speaking with your dedicated InsuranceMarket.ae advisor before you buy
2. To add on an existing eligible GIG Gulf policy, you do not have to wait until renewal. Simply contact your InsuranceMarket.ae advisor with your policy number and request to add War Cover (subject to GIG’s terms and underwriting approval).

3. Choose Your Sum Insured Option

GIG Gulf’s War Cover lets you choose how much protection you want for war‑related damage to your own vehicle up to your vehicle’s full value less standard depreciation, or a fixed limit of AED 100,000, or a fixed limit of AED 50,000

The option you select becomes the maximum payout for a valid war‑related claim. Your InsuranceMarket.ae advisor can help you decide which level matches your vehicle value and risk appetite.

4. Understand the Cost and Key Conditions

War Cover costs 0.5% extra on top of your GIG Gulf comprehensive motor premium, not a flat fee. The exact amount depends on your vehicle value, and the sum insured option you pick for War Cover

5. Confirm and Pay

Once you have an eligible GIG Gulf comprehensive policy, choose your War Cover limit, and accept the additional cost, your InsuranceMarket.ae advisor will:

1. Arrange the add‑on with GIG Gulf.
2. Take payment for the extra premium (or include it within your overall policy payment, if you’re buying new cover).
3. Issue updated policy documents and endorsement showing War Cover is active.

Remember: cover becomes effective 48 hours after issuance, so it’s better to add it in advance rather than wait for headlines to change.

FAQs

What UAE Car Owners Should Know About War Cover

War cover is not a replacement for standard comprehensive car insurance. Instead, it is a specialized add-on designed to address certain conflict-related risks that are typically excluded from standard motor insurance policies. 

If you are considering it, focus on your exposure, risk appetite and vehicle value, the specific exclusions and waiting period

When combined with comprehensive motor insurance, specialized add-ons such as war cover can provide an additional layer of protection against risks that may otherwise be excluded. InsuranceMarket.ae can help you understand your car insurance options and explore whether upgrading your policy with additional protection is suitable for your needs, so you can feel better prepared as geopolitical risks become a more visible consideration for motorists and businesses. .