Yes. Every UAE bank requires life cover on a mortgage, so the loan is paid off if the borrower dies.
- Bank group policy: cover falls as your loan balance falls (decreasing term). Typically 0.01%–0.025% of the outstanding loan per month, added to your payment.
- Your own policy, assigned to the bank: must cover the loan amount and term, with the bank as first beneficiary. Some banks charge a one-off assignment fee.
- Takaful: the Sharia-compliant option for Islamic home finance, at a similar cost.
Decreasing term cover reduces in line with your loan balance, which keeps premiums low. Some policies also cover permanent total disability; check the wording.
