SynopsisWar-risk insurance is now available for everyday consumers in the UAE. Insurers are offering new policies for cars, cargo, and travel. This expansion is driven by ongoing geopolitical tensions. Businesses are also reassessing their coverage for disruptions. Awareness of war-related risks is increasing among consumers and companies.Listen to this article in summarized formatAgenciesRoll out motor, cargo and travel add-ons as Iran conflict drags onDubai: War-risk insurance, once largely confined to global shipping and aviation, is increasingly entering the UAE's retail and consumer market, with insurers rolling out dedicated protection for cars, cargo, travel, and business operations amid prolonged Iran-US-Israel conflict.In a first for the UAE retail motor insurance market, Dubai-headquarters Sukoon Insurance (previously Oman Insurance Company) recently launched a 'Motor War Cover' add-on for comprehensive vehicle policyholders, offering protection of up to AED 5 million against direct physical damage arising from war, strikes, terrorism, and riots within the UAE.The move comes as the UAE bore the brunt of Iranian strikes on Gulf states, dealing with more than 500 missiles and 2,000 drones since February 28.Also Read: Will provide insurance to all vessels coming to or going from India: DFS Secretary NagarajuAs a result, war-risk insurance is transitioning from a highly specialised corporate insurance product into more accessible retail, SME and consumer oriented solutions."This trend reflects a broader transformation in regional risk perception driven by geopolitical tensions, supply-chain instability, disruption in global shipping corridors and growing uncertainty surrounding strategic waterways such as the Strait of Hormuz and the Red Sea," said Aftab Hasan, founder and chairman of Global Association of InsurTech Professionals (GAIP).He said standard insurance policies across marine, motor, travel and commercial segments typically exclude war-related losses unless separate riders or endorsements are purchased.Orient Insurance on Thursday expanded its war-risk protection offering in the UAE, adding cover for cargo, personal vehicles, and residential units. The additional portfolio includes marine cargo cover for goods exposed to war-related risks during inland transit, and that for residential units for protection against property damage resulting from war-related events.In case of travel, insurance companies such as Qatar Insurance Company (QIC) and Gulf Insurance Group (GIG) last week introduced new riders covering disruption owing to wars and geopolitical tension, which were otherwise excluded, people in the know said.Insurance intermediary CoverB has also started marketing war risk insurance packages for businesses, covering financial losses due to operational disruption due to war, protection against physical damages, compensation for employees affected by conflict while at work, and protection against legal liabilities arising from contract breaches due to unforeseen conflict conditions.Businesses reassess coverageExecutives said UAE businesses are now reassessing whether conventional "all-risk" insurance policies adequately protect them against geopolitical disruptions, supply-chain breakdowns and political violence.Neeraj Gupta, CEO of Policybazaar UAE, said there's a spike in marine cargo and war-risk related queries. "Awareness is going up and clients are asking sharper questions about what their current policies actually cover, and where the gaps might be," he said.Traditionally, war-risk has not been something businesses actively shopped for, but was usually added quietly as an extension to an existing cargo policy. "What we are noticing now is a shift where businesses want to genuinely understand their exposure rather than just assuming they are covered," Gupta said.Read More News on...moreless