Policy Termination Letter Template for United Arab Emirates

A Policy Termination Letter serves as an official document for ending insurance coverage in the United Arab Emirates. It is used when either the insurer or policyholder needs to terminate an existing insurance policy, whether due to non-payment, policy violations, mutual agreement, or other valid reasons specified under UAE insurance regulations. The document must adhere to UAE Federal Law No. 6 of 2007 and Insurance Authority regulations, providing clear notification periods and containing all legally required information. This includes policy details, termination date, reasons for termination, and financial settlement information. The Policy Termination Letter also serves as a crucial record for both parties, documenting the official end of the insurance relationship and any associated obligations.

1. Letterhead and Date: Company letterhead with full contact details and the date of the letter

2. Recipient Details: Full name and address of the policyholder, including policy reference numbers

3. Subject Line: Clear indication that this is a policy termination notice

4. Policy Information: Details of the policy being terminated, including policy number, type, and effective dates

5. Termination Statement: Clear statement of termination with specific effective date

6. Reason for Termination: Statement explaining the grounds for termination

7. Financial Settlement: Information about any refunds, outstanding payments, or final settlements

8. Next Steps: Instructions for the policyholder regarding any required actions

9. Closing: Formal closing with contact information for queries