Implemented in cooperation with the Central Bank of the UAE and a group of national insurance companies, the initiative:
- Provides special insurance coverage for housing loans to senior citizens to enhance the stability of Emirati families.
- Offers life insurance that covers the full value of the housing loan, applicable in cases of death or total permanent disability.
- Raises the maximum loan coverage age from 70 to 95 years, facilitating homeownership for senior citizens.
- Covers both current and future loans at a low cost.
As part of the Year of Community initiatives and with the aim of providing a comprehensive insurance umbrella, the Ministry of Energy and Infrastructure, represented by the Sheikh Zayed Housing Program, announced the launch of an initiative to secure funding for housing support decisions for citizens benefiting from housing loans, with a particular focus on senior citizens.
The ministry indicated that the initiative is being implemented in cooperation with the Central Bank of the United Arab Emirates, financing partners, and Takaful service providers, in addition to a large group of national insurance companies, including Sukoon Takaful and Abu Dhabi National Insurance Company.
Sustainable partnerships that support social and economic development
The wise leadership places the comfort and happiness of citizens at the forefront of its priorities… The initiative reflects the UAE’s unwavering commitment to providing adequate housing as a fundamental pillar of comprehensive development, as it represents a qualitative step in the journey to support senior citizens.
His Excellency Suhail bin Mohammed Faraj Faris Al Mazrouei, Minister of Energy and Infrastructure, emphasized that the initiative aligns with the leadership’s directives to enhance the stability of Emirati families and provide a decent life for all segments of society. His Excellency said: “The wise leadership places the comfort and happiness of citizens at the forefront of its priorities… The initiative reflects the UAE’s unwavering commitment to providing adequate housing as a fundamental pillar of comprehensive development, as it represents a qualitative step in the journey to support senior citizens. It was designed to address the challenges associated with housing financing for this category, enhancing their quality of life and contributing to achieving family stability.
” Al Mazrouei added that the cooperation with the banking sector and national insurance companies reflects the country’s strategic vision to build sustainable partnerships that support social and economic development, commending the efforts made to develop the housing system in the UAE to become a global model.
The partnership includes a group of banks participating in financing housing support decisions within the federal housing policy. The insurance coverage has been designed to be uniform, fair, and low-cost, ensuring that all eligible citizens benefit from current and future housing loans. The insurance covers death or permanent total disability resulting from an accident or other event, with coverage extended to the age of 95, providing long-term financial protection for Emirati families.
Flexible financing solutions that meet the needs of senior citizens and retirees.
Through this initiative, the Sheikh Zayed Housing Programme seeks to provide flexible financing solutions that meet the needs of senior citizens and retirees… while ensuring comprehensive insurance coverage that protects them from financial risks.
For his part, His Excellency Engineer Mohammed Ibrahim Al Mansouri, Director of the Sheikh Zayed Housing Programme, emphasized that the initiative embodies the leadership’s forward-looking vision to empower Emirati families and enhance their social stability. He explained that through this initiative, the programme seeks to provide flexible financing solutions that meet the needs of senior citizens, while ensuring comprehensive insurance coverage that protects them from financial risks.
Al Mansouri pointed out that raising the maximum age for insurance coverage to 95 years represents a qualitative shift in housing policy, as it provides broader opportunities to benefit from housing support, enhancing social justice and reducing rejection rates resulting from insurance or financing restrictions. The initiative aims to support various segments of society, with a focus on senior citizens, by providing life insurance that fully covers the value of the housing loan.
This initiative addresses the challenges previously faced by this segment, as the maximum age for loan repayment was limited to 70 years, which in some cases led to the rejection of financing applications. By raising this age limit to 95 years, senior citizens can now benefit from housing support more easily, enhancing opportunities for home ownership and reducing insurance or financing risks that could hinder the achievement of this goal.
Comprehensiveness and fairness in the distribution of housing support
The Central Bank of the UAE has issued a new regulatory notice allowing banks and finance companies to adopt more flexible financing models. The notice also allows financing for citizens with existing mortgages, provided that the new property is their first actual residence. Citizens benefiting from the National Loan Program are included after their ability to repay is verified, enhancing the comprehensiveness of the initiative and ensuring fairness in the distribution of housing support.
This initiative is part of a series of achievements by the Sheikh Zayed Housing Program, reflecting the UAE’s commitment to enhancing the quality of life for its citizens. In recent years, strategic developments have contributed to accelerating the housing support process, increasing customer happiness, and expanding partnerships with the banking sector and financing institutions.
Partnership agreements
In support of the senior citizens’ housing initiative and the provision of special insurance protection for housing loans, the Ministry of Energy and Infrastructure, represented by the Sheikh Zayed Housing Programme, and Takaful service providers signed a partnership agreement with Abu Dhabi National Insurance Company (ADNIC) and Sukoon Takaful. Takaful service providers ADNIC and Sukoon Takaful also signed a similar agreement with banks and financial institutions approved under the new Sheikh Zayed Housing Programme loan financing mechanism: Abu Dhabi Islamic Bank (ADIB), First Abu Dhabi Islamic Bank (FAB), Dubai Islamic Bank (DIB), Emirates NBD (ENBD), and Ajman Bank.
