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The extension conditions of the insurance contract as per the UAE

The extension conditions of the insurance contract as per the UAE
Upon completion of the insurance contract, there is no implied renewal of the insurance contract in the strict meaning of the implied renewal. If the contract includes an explicit condition for renewal, this renewal is not implied. However, it is an explicit extension of the insurance contract. WhatsApp: +971555570005

The extension conditions of the insurance contract as per the UAE


Upon completion of the insurance contract, there is no implied renewal of the insurance contract in the strict meaning of the implied renewal. If the contract includes an explicit condition for renewal, this renewal is not implied. However, it is an explicit extension of the insurance contract.

There are four conditions shall be existed in the contract for the extension of its duration after the expiry of the original duration;

First: The contract, it shall be a contract of insurance for damages and its duration shall be specified, whether this period is five years or less or more. If the period is five years or less, the contract may extend after expiry. If the period is more than five years, the contract shall be revoked at the end of any five-year period. If it has not been expended and has remained for the expiry of its entire period, it may extend thereafter, as stated above, and there is no place for extension of the insurance contract if its duration is not specified and fixed. The indefinite period extends by its nature for an indefinite period.

Second: A clear condition shall be stated in the insurance policy indicating that the contract should be extended on its own after the expiry of its specified period if the insured is silent and does not object to the extension.

This condition must manifestly appear for its importance if it is included in the general printed conditions. If said condition does not exist explicitly and the duration of the contract has expired, the contract shall not be extended for lack of the condition that requires so, and it shall not be renewed implicitly,as we have provided that the insurance contract is not subject to the implied renewal and accepts only the explicit renewal

Third: the duration of the contract shall be expired completely, the extension shall only occur after the expiry of the original term, it shall not be subject to the extension but termination, such as : the duration of the contract is fourteen years, and one of the parties terminates the contract at the expiry of the first five years the contract. In this event the contract ends with the termination and does not extend. Also if the contract is not terminated by one of the parties at the end of the second five years, the contract shall continue for the remainder four years of its original term and that shall not consider an extension of its original term.،
Forth : the insured may not object the extension of the contract, if he objects through submitting a written letter accompanied by an acknowledgment of receipt to the insurer before the expiry of the original period by at least thirty days or before the expiry of the year in which the contract was extended for at least thirty days, As we shall see, this opposition has prevented the contract from being extended or from being extended again.
In light of the aforementioned, if these four conditions are met, the contract is extended on its own without the need for a new agreement or any other procedure



Attorney / Mohamed Al Marzooqi
Mohamed Al Marzooqi Advocates & Consultancy
Lawyer in Abu Dhabi, Dubai – UAE

The extension conditions of the insurance contract as per the UAE
Upon completion of the insurance contract, there is no implied renewal of the insurance contract in the strict meaning of the implied renewal. If the contract includes an explicit condition for renewal, this renewal is not implied. However, it is an explicit extension of the insurance contract. . WhatsApp: +971555570005

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