Dubai Administrative Decision No. 115 of 2025 on Determining the Controls for Setting the Final Insurance Value at a Lump Sum

Director General of the Finance Department

- Having regard to Dubai Law No. 5 of 1995 establishing the Department of Finance;

- Dubai Law No. 12 of 2020 on Contracts and Warehouse Management in the Government of Dubai;

- Dubai Decree No. 20 of 2009 appointing the Director General of the Department of Finance

has decided:

Article 1 – Rules for determining the final insurance value as a lump sum 

The value of the final insurance in contracts for which the financial consideration cannot be determined with precision shall be set at a lump sum in accordance with the following regulations:

1. The value of the final insurance shall be commensurate with the nature and purposes of the project or the purchases covered by the contract, as well as their scope and technical specifications.

2. The value of the final insurance shall not be burdensome to the supplier, taking into account the supplier’s size and the scale of the works entrusted to them.

3. The value of the performance bond must be proportionate to the initial estimate of the value of the project or the pur...