Online vehicle insurance must for registration from March

Move to create paperless process for customers, Licensing chief says

Dubai: As of March 1, no vehicles will be registered in Dubai without an online insurance policy, Gulf News has learnt.

"We will stop accepting physical insurance policies on papers for vehicle registration from the beginning of March, and all insurance companies will be required to send the vehicles' insurance online to the RTA," said Ahmad Hashim Behroozian, CEO of the RTA's Licensing Agency.

He told Gulf News that the RTA has asked insurance companies to link their computer systems with the Licensing Agency and make the policies available online. Almost all the major insurance companies have already integrated their computer systems with the Licensing Agency and many more are in the process of doing so.

Behroozian warned motorists to check with their respective insurance companies whether they are now linked online with the RTA and provide online insurance to avoid any inconvenience.

"Motorists should now go to the insurance companies which are linked online with the Licensing Agency," he added.

"The aim is to offer a paperless and hassle-free registration process to customers," he said.

Currently, a motorist has to first go to the insurance company to get his car insured, which is a prerequisite to get the vehicle registered with the RTA. He then physically carries the insurance paper to the Licensing Agency or car registration offices to renew the registration.

With the implementation of the new online system, a motorist will just pay the insurance fee at his respective insurance company and the company will send the information online to the RTA car registration offices.

The move will also help the crackdown on motorists who insure their cars but do not get them registered, mainly to avoid heavy fines, and continue to drive with expired registration posing a threat to road users.

"We are trying to develop a mechanism with the help of insurance companies to stop the insurance of vehicles after expiry of their registration, because such vehicles pose serious threat to the road users," Behroozian added.

"There are more than 80,000 vehicles in Dubai with expired registrations as the owners, including individuals and companies, avoid registering for various reasons, [but] mainly due to hefty fines," he noted.

The RTA has also recommended the federal government introduce heavy fines for unregistered vehicles and for delaying registration. Currently, there is a fine of Dh20 per month if the vehicle registration is delayed. Motorists get a one-month grace period to get their vehicle registered after the registration expiry date.