Rent A Car in UAE

Terms and conditions of Rental Agreement

Owner Undertaking

1.     To keep the vehicle fully covered by comprehensive insurance third party liabilities in respect of death and bodily injury. An owner shall have the option to decline or accept PAI and CDW at extra cost. The insurance policy does not cover acts of Sabotage, Terrorism, flood, storm, hurricane, volcanic eruption, earthquake or other convulsions of nature, invasion act of foreign enemies, hostilities or warlike operations whether war be declared or not civil war, strike, riot, civil commotion mutiny, rebellion, revolution insurrection military or usurped power, confiscation or nationalization. Reckless and drunken driving (under the influence of alcohol and any other substance).

2.     To carry out routine maintenance, servicing and repairs (including normal tire wear but excluding tire puncture and damages) resulting from normal wear and tear.

3.     To arrange for registration of the vehicle.

4.     To provide a replacement vehicle during maintenance and service of the leased vehicle. Replacement will be subject to availability and not exceed a small saloon unless specified in the Rental Agreement. In case of an accident, a replacement vehicle will be provided only after the original Police Report and Repair slip acceptable to the insurance are submitted to the owner.

Hirer Undertaking

1.     To pay lease rental (calculated on a 24-hour basis), without prior demand, in advance or within prior approved credit period.

2.     To pay for excessive usage beyond 250 km/day on Daily Rental, 150 km/day on Weekly Rental, 2500 km/month on Monthly/Lease rental for both passenger and commercial vehicles. Excess Mileage Rate from AED 0.30 to AED 0.50 per km (depending on the type of vehicle). (Applicable for Lease Contracts only).

3.     To pay for delivery or collection @AED 100/- in Dubai, AED 150/- in Sharjah/Ajman and AED 250/- for all other Emirates. An additional amount of AED 100/- will be charged for delivery or collection on Fridays and Public holidays. Airport surcharge of AED 50/- will be charged for vehicles off-hired at the airport.

4.     To accept and pay for all fine, road tolls, toad taxed and expenses incurred through violation of traffic, municipality, and local laws. Owner reserves the right to charge these to the Hirer’s account of Hirer’s credit card or transfer to the driving license without prior approval irrespective of delay and with no preset time limit.

5.     To accept a Credit Card Block/Pre-authorization of an amount of AED 1,000 on Daily/Weekly hire, and a deposit of AED 1000/- (for Saloon vehicles) and AED 2000/- (for 4WD & Commercial vehicles) on Monthly Hire as Security Deposit which is refundable after 30 days for Dubai emirate contracts and 40 days for all other emirates contracts from the date of vehicle return.

6.     To pay for THE KNOWLEDGE DIRHAM, TRAFFIC FINE, TOLL CHARGES, and or any surcharge imposed by the Traffic Department, Municipality, RTA or any other authority and 10% (of the fine amount, knowledge dirham and or surcharge fee), 10%/25% of the toll charges not later than 3 days from date of intimation. Hirer also agrees to pay AED 50 per fine, per day if the same is not reimbursed to Owner within 3 days To pay for any loss, damage, rent legal and service charges for the period the vehicle is impounded or taken over by the Traffic department, police, Municipality, RTA or any other Authority, for any offense committed by the Hirer.

7.     To bring the vehicle for routine service/repair within the service due kms and for renewal or registration including the replacement vehicle will be to the account of the Hirer.

8.     To pay in advance an amount of AED 100/ per month for an additional driver (other than the Hirer) in case of Monthly Rental, AED 25 per agreement in case of Daily Rental and AED 50 per agreement in case of Weekly Rental. The name of the additional driver must be registered in the Rental Agreement. The Hirer undertakes to bear all accident repair charges in case the vehicle meets with an accident and the driver is not registered in the Rental Agreement, even if the Hirer has taken CDW in advance and has obtained the police.

9.     To ensure all drivers driving the vehicle hold a valid UAE driving license that is more than 6 months old (in case of fewer than 6 months old, the driver must additionally possess a license from his/her country of origin that is more than 1 year old). In case of visit/tourist/transit visa, the driver must possess an International driving license along with a local driving license from the country of origin (more than 1-year-old). Noncompliance with the above will attract additional liability of 10% of the total damage cost on ‘own vehicle’ in case of accidents due to the driver’s fault 9including hit and run cases).

10.  Not to allow the vehicle to be driven by a driver whose name is not in the Rental Agreement or by a driver who is less than 21 years of age. Noncompliance with the age limit of the driver will attract additional liability of 10% of the total damage cost on ‘own vehicle’ in case of accidents due to the driver’s fault (including hit and run cases).

11.  To inform the owner immediately in the event of an accident and obtain a police report/repair-slip acceptable to the insurance company to process the insurance claim. The hirer shall bear AED 1000 (passenger vehicle) and AED 1500 (commercial vehicle, SUVs & 4x4s) out of the total indemnity (unless CDW is accepted in advance and paid), reducing the insurance excess to NIL. The insurance excess is payable in all cases where the accident is due to the fault of the driver or where the third party is not identified and responsible. CDW will be valid only against a police report/repair-slip acceptable to the insurance company. In case, due to any reason, it is not possible to obtain the police report to make an insurance claim, the hirer will pay for all costs of repair to the vehicle, third party damage including, but not limited to the loss of use. As per UAE laws, an accident vehicle is not be removed from the place of the accident unless police have inspected the vehicle, the hirer will pay the cost of transporting the accident vehicle to the workshop or police yard in the concerned Emirate(s) and later to the workshop.

12.  To ensure all fluid levels (oil, water fluids etc.) and tire pressures are maintained to the levels specified and accept financial liability for any damage from use of the vehicle below the specified required levels.

13.  Not to sub-let or give possession of the vehicle to a third party and use the vehicle for illegal, criminal or for any purpose other than for those the vehicle is intended for. Insurance is not covered in case the vehicle is used for these activities.

14.  Not to use the vehicle for hire, rallying, racing, any type of off-road application (including desert fun drives etc.), driving through a pool of water, overloading or exceeding the number of passengers for which the vehicle is licensed and as mentioned in the registration card. Insurance does not cover for any damages or losses in case the vehicle is used for these activities.

15.  Not to take the vehicles outside UAE territories.

16.  To return the vehicle on the due date in a condition in which it was handed over including interior and exterior cleaning. In case of any damages, the Hirer agrees to pay for the repair as per the estimate of the Owner and the rental of the vehicle until the same is repaired.

17.  To pay as below if the hired vehicle is returned before the agreed expiry date of the agreement. Weekly/Daily rates as applicable for Monthly/Lease agreements if the vehicle is returned in the first month of hire. Daily rates are applicable for Weekly agreements if the vehicle is returned in the first week of hire. The Hirer will also be responsible to pay the early termination charges.

18.  To pay for usage of Owner’s fuel at 1½ times the prevailing market price and cleaning cost of AED 50/- for exterior and AED 150/- for underbody and AED 250/- for an interior.

19.  To ensure that no unauthorized person repairs or carry out modification on the vehicle without the prior written approval of the Owner (including an application of film, advertisement stickers, fixing of tow hooks etc.). The Hirer will be responsible for any taxes, levies, penalties, fines or charges these changes will attract from the different authorities of the country.

20.  To compensate the owner for all losses including loss of profit due to failure to comply with any of the terms of this agreement.

21.  To accept all liabilities, and hold the owner harmless, for use of the vehicle on hire and under the possession of the Hirer.

Early Termination and Vehicle Re-possession

1.     Owner shall have the option to terminate the contract, take possession of the vehicle and charge early termination fees in case the Hirer misuses the vehicle for illegal or criminal activities, makes frequent accidents, frequent traffic fines, not pay the rental charges or any other amount due to the owner beyond 7 days from the due date.

2.     For early termination by the Hirer or the Owner, due to any reason, Hirer agrees to compensate the Owner an amount equal to 90 days rental in case of 3 year lease, 60 days rental in case of 2 years lease, 30 days rental in case of 1 year lease and 60% of the monthly rental in case of 6 months lease unless mutually agreed in writing in advance at the time of initial hire of the vehicle.

3.     UAE laws shall govern this agreement.

No Cash Payments will be accepted