Buying property in Dubai feels like a power move and it is. Whether it’s your dream apartment overlooking the Marina or a cosy townhouse in Damac Hills, one thing most buyers do right is get insurance. But here’s the catch: not everything is covered. And if you’re assuming your policy has your back no matter what think again.
Let’s break down what your Dubai property insurance doesn’t cover, why it matters more in 2025, and what smart homeowners are doing about it.
Why This Topic Matters in 2025
The Dubai real estate market has matured. We’re seeing tighter regulations, more informed buyers, and increased international investment. But despite that, many homeowners are still unclear on one major thing-what their insurance actually excludes.
And with rising climate-related incidents, growing repair costs, and legal responsibilities shifting in favour of tenant rights, being underprepared can cost you more than just money. It can cost you peace of mind.
So if you’ve insured your Dubai property-or plan to soon-this matters now more than ever.
Key Things You Need to Know
Wear and Tear? Not Covered.
Let’s say your air conditioner stops working in the middle of a July heatwave. If it’s due to age or usage, insurance won’t touch it. That’s maintenance-not an accident.
The same goes for leaky faucets, cracked tiles, or any slow, gradual damage. Your insurer assumes you’re doing routine upkeep. If you’re not, that’s on you.
Mould, Damp, and Humidity Damage
Dubai is humid-especially near the coast. And guess what? Mould or dampness caused by poor ventilation or lack of maintenance isn’t covered in most policies.
Unless it’s a sudden incident (like a burst pipe), damage from moisture build-up usually gets denied.
Pest Infestations
If termites, rats, or cockroaches decide to move into your property, you’re the landlord now. Most insurance policies in Dubai won’t reimburse you for pest control or the damage caused by infestations.
Tenant Damage (If You’re a Landlord)
Renting out your apartment? Good move. But unless you’ve added specific landlord insurance or rent protection, standard policies won’t cover damage caused by tenants-accidental or otherwise.
Unoccupied Property for Too Long
Here’s something many second-home owners in Dubai don’t realize: if your property sits empty for more than 30-60 days (depends on the policy), your coverage can become void. Insurance companies view vacant homes as higher risk for theft, damage, and unnoticed issues.
Real Examples or Common Buyer Mistakes
Let me tell you about Rishi.
He bought a stunning 2-bedroom in JVC as a holiday home. Locked it up and left for six months. While he was gone, a pipe burst in the ceiling. The leak went undetected for weeks. When he returned, the entire living room ceiling had collapsed-and the insurer refused to pay. Why? The apartment had been vacant too long. The fine print got him.
Another example? Samira, a first-time investor in Downtown. She assumed her insurance covered tenant damages. It didn’t. After the tenant moved out and left the kitchen in shambles, she ended up paying AED 18,000 out of pocket.
These stories aren’t rare. They’re happening all the time, and usually to people who thought they were covered.
Expert Take or Hidden Insights
Here’s the part most agents won’t tell you: Not all insurance policies are created equal. In fact, most are designed for the insurer’s protection-not yours.
Many Dubai property owners think getting insurance is a checkbox exercise. It shouldn’t be. You have to read every clause. You need to ask:
- What happens if my property is empty for two months?
- Are short-term rentals covered?
- Does this include contents or just structural?
- What if the damage comes from a neighbouring unit?
And here’s another insider tip: add a Home Maintenance Contract alongside your insurance. While insurance handles disaster recovery, maintenance contracts take care of the “wear and tear” stuff insurance ignores. Together, they close the gaps.
Final Thoughts – What This Means for You
You’ve worked hard to own a piece of Dubai. Protecting it shouldn’t be a gamble.
Know this: insurance is essential, but it’s not bulletproof. What your policy doesn’t cover can hurt you more than what it does. So ask the right questions. Read the exclusions. And don’t assume you’re safe just because you’ve paid the premium.
If you’re unsure about your coverage or haven’t reviewed your policy in a while, now’s the time. Because being informed isn’t just smart-it’s how you stay in control.
