Demand for war risk and political violence insurance has surged sharply across the UAE and wider Gulf region, as businesses and individuals seek greater protection for assets including properties, vehicles, and supply chains following recent regional geopolitical tensions.
Insurance industry executives say enquiries for such coverage have increased significantly in recent months, alongside rising premiums for protection linked to commercial buildings, residential properties, and motor vehicles.
The heightened demand follows escalating regional conflict, which has intensified concerns over operational risks and supply chain disruptions. Insurers note that businesses are increasingly prioritizing resilience and continuity planning in response to the evolving risk landscape.
“We are seeing growing awareness and demand for enhanced protection solutions across the UAE and the wider GCC region,” said Omer Elamin, president of Orient Insurance Group. “Businesses today are placing greater emphasis on supply chain resilience, operational continuity and proactive risk management.”
He added that individuals are also becoming more conscious of the need for broader protection, particularly for homes and vehicles.
Industry experts say demand is particularly strong among large corporates involved in logistics, trade, shipping, and regional operations, where exposure to disruption risks is higher. However, small and medium-sized enterprises are also increasingly seeking coverage, especially those engaged in import and export activities.
“What we are now seeing is insurers also exploring ways to integrate this risk as an add-on or extension to existing policies,” said Hitesh Motwani, deputy CEO of Insurancemarket, highlighting a shift toward more flexible and accessible coverage options.
He added that awareness is now extending beyond major corporations. “We are also seeing enquiries from individual customers, especially property owners and motor insurance customers who are becoming more aware of these risks,” he said.
Industry estimates suggest that standalone political violence insurance can range between 2.5 per cent and 4 per cent of insured value, depending on risk exposure and location, while motor insurance add-ons remain comparatively lower, the Khaleej Times reports.
For example, coverage of $2 million could carry a premium of around $50,000, depending on underwriting conditions. Motor-related add-ons typically range between 0.25 per cent and 0.50 per cent of vehicle value.
