What would mortgage life cover cost as your loan falls?
Banks in the UAE can charge mortgage life cover as a monthly percentage of what you still owe. Enter your loan and your bank's rate to see the balance and the premiums year by year.
How is the premium worked out?
Each month's premium is the balance at the start of the month times the monthly rate. Emirates NBD's key facts statement gives 0.018% a month, or AED 144 on a balance of AED 800,000. The balance falls as you repay, so the premium falls too. The balance here assumes equal monthly repayments at a fixed rate.
| Year | Balance at year end | Life premiums that year |
|---|---|---|
| 1 | AED 775,533 | AED 1,704 |
| 5 | AED 672,264 | AED 1,483 |
| 10 | AED 530,116 | AED 1,180 |
| 15 | AED 371,930 | AED 842 |
| 20 | AED 195,896 | AED 466 |
| 25 | AED 0 | AED 48 |
In this example the monthly repayment is AED 3,446 and life premiums total AED 23,587 over the loan. Where life cover is a condition of the loan, the bank must tell you its cost in writing and let you choose from at least three approved insurers. More in mortgage life insurance.
Sources
- Key Facts Statement, Home Loan, Fixed and Variable Interest RateEmirates NBD. Representative example: life insurance at 0.018% a month of the outstanding loan, AED 144 on AED 800,000. Read 12 November 2026.
- Consumer Protection Standards, clauses 2.1.3.15 and 5.1.1.28Central Bank of the UAE. Read 12 November 2026.
- Live Life, Key Features DocumentMetLife, published by Mashreq. Read 12 November 2026.