Dubai Police warn residents against falling victim to fraudulent insurance companies

Dubai Police have cautioned residents to be wary of fraudulent insurance providers, advising them to check licences and documentation before making any payments.

As part of an ongoing campaign, Dubai Police highlighted that unlicensed entities are increasingly active on social media platforms, where they promote misleading offers to attract victims.

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They explained that these fake companies often publish advertisements featuring significantly lower prices than those available in the market. 

They claim to provide fast and immediate vehicle or health insurance services, prompting users to make payments without verifying the legitimacy or licensing of the provider.

This is not the first time that police in the UAE have warned residents against falling victim to scammers on social media.

In January this year, Ras Al Khaimah Police had warned the public to be constantly vigilant against fake car insurance advertisements online. The authority warned residents to be particularly careful of those promising unrealistically low insurance schemes.

Last year, industry experts had also warned residents against falling victim to fake insurance companies on social media.

Strict regulation

Dubai Police emphasised that all authorised insurance companies operating in the UAE are subject to strict supervision and regulation by official authorities.

These companies follow clear procedures to issue policies and safeguard customer rights. 

According to the authorities, the public should confirm the credentials of any insurance company or broker before completing payments.

They urged people to avoid being misled by unrealistic offers that do not align with standard market prices and falling victim to scams.

To strengthen community awareness, Dubai Police have tasked specialised authorities to actively monitor such fraudulent activities and take legal action against those responsible.

However, individual awareness remains the first line of defence against cyber fraud.

The public is encouraged to report any suspected fraud attempts immediately through the eCrime platform or by calling 901 that are dedicated non-emergency cases.

In the UAE, only licensed companies, brokers, and agents can sell insurance.

In order to avoid scammers, experts have advised buyers to conduct a detailed check on active trade licenses. They pointed out that a surprisingly low insurance rate was a red flag.