Dubai Career Diary

The recent heavy rains in the UAE on April 16 resulted in unprecedented flooding, with over 50,000 vehicles damaged. While many motorists filed claims for flood damage, some insurance companies are rejecting these claims due to negligent driving.

Under the natural catastrophe clause, only vehicles with comprehensive insurance policies are covered against losses arising from natural disasters. Third-party liability plans, on the other hand, do not usually cover natural catastrophes.

Avinash Babur, CEO of Insurancemarket.ae, explained that insurers are indeed rejecting total loss claims where it is found that motorists deliberately drove through flooded streets.

“Insurance policies typically exclude coverage for damages resulting from negligent behavior, and driving through deep water during a storm falls under this exclusion,” said Babur.

Moin ur Rehman, executive director of Unitrust Insurance Broker, concurred, stating that policies’ terms and conditions may be disregarded in such conduct, which might result in coverage being denied for damages brought on by such willful actions.

Toshita Chauhan, business head for health and motor insurance at Policybazaar.ae, also reported instances where claims were rejected due to motorists driving intentionally on flooded roads.

Insurers are meticulously reviewing each claim related to the April 16 rains to determine the circumstances under which the vehicles sustained damage.

“The focus is to ensure that claims are valid, specifically verifying that the vehicles were not driven through flooded areas during or immediately after the rainfall,” said Babur.