How to Get an Insurance Consultancies Business Licence in Dubai

The UAE insurance sector is one of the fastest-growing financial services markets in the Middle East, with gross written premiums exceeding AED 50 billion annually and demand for specialist advisory services rising steadily alongside economic diversification. For entrepreneurs and established firms looking to capitalise on this growth, obtaining an Insurance Consultancies business licence in Dubai opens the door to a regulated, high-margin professional services niche. This guide covers everything you need to know about Activity Code 6621.95, the Business Licence available at Dubai South Business Hub Free Zone, and how to set up compliantly and efficiently.

What the Insurance Consultancies Licence Covers

An Insurance Consultancies licence (Activity Code 6621.95) falls under the Financial category and authorises the holder to provide professional advisory and consultancy services related to insurance products, risk assessment, policy selection, and claims management. The activity is classified under ISIC division 66, which covers activities auxiliary to financial services and insurance.

Specifically, a licensed insurance consultancy may:

• Advise individuals and corporations on suitable insurance coverage and policy structures

• Conduct risk analysis and recommend appropriate risk mitigation strategies

• Assist clients in comparing insurance products across providers

• Support clients during the claims process and liaise with insurers on their behalf

• Provide market research and insurance-related due diligence for mergers, acquisitions, and investments

It is important to note that this licence covers consultancy and advisory functions. Underwriting, direct insurance, and brokerage activities require separate regulatory permissions from the UAE Insurance Authority.

Why Dubai and Dubai South Business Hub Free Zone

Dubai is strategically positioned as a global financial hub, connecting markets across the Middle East, Africa, South Asia, and Europe. The UAE government's commitment to economic diversification under the UAE Vision 2031 framework has accelerated investment in financial services infrastructure, digital platforms, and regulatory modernisation.

Dubai South Business Hub Free Zone offers a business-friendly environment with notable advantages for financial services consultancies:

• 100% foreign ownership permitted with no requirement for a local sponsor

• Zero corporate and personal income tax on qualifying activities

• Full repatriation of profits and capital

• Proximity to Al Maktoum International Airport and Jebel Ali Port, supporting regional connectivity

• Streamlined licensing and company formation procedures

• Access to a growing ecosystem of financial services, logistics, and trade businesses

Key Stats at a Glance

• Activity Code: 6621.95

• Licence Type: Business Licence

• Category: Financial

• UAE gross written premiums: over AED 50 billion per year

• Foreign ownership: 100% permitted

• Corporate tax: 0% for qualifying free zone entities

• Typical setup timeline: 2 to 4 weeks

• Minimum share capital: subject to free zone authority requirements

Who This Licence Suits

The Insurance Consultancies licence is well suited to a broad range of professionals and business models, including independent insurance advisers, risk management consultants, corporate advisory firms, financial planners incorporating insurance analysis, and international consultancies seeking a UAE base to serve the Gulf Cooperation Council market.

Setup Costs and Steps

Estimated Costs

Costs vary depending on office type, visa allocation, and additional regulatory requirements. Indicative figures for a Dubai South Business Hub Free Zone setup include licence fees, registration fees, and flexi-desk or physical office costs. Prospective applicants should request a tailored quotation, as packages differ based on the number of visas required and the scale of operations.

Step-by-Step Setup Process

• Step 1 - Choose your business activity: Confirm that Activity Code 6621.95 aligns with your intended services.

• Step 2 - Select your legal structure: Most applicants opt for a Free Zone Limited Liability Company (FZ-LLC) or a branch of an existing company.

• Step 3 - Submit your application: Provide passport copies, business plan, and completed application forms to the free zone authority.

• Step 4 - Obtain initial approval: The authority reviews the application and issues initial approval, typically within a few business days.

• Step 5 - Lease office space: Select a flexi-desk, serviced office, or dedicated unit within the free zone.

• Step 6 - Pay fees and receive your licence: Upon payment of applicable fees, the Business Licence is issued.

• Step 7 - Open a corporate bank account: Approach UAE-based banks with your licence, incorporation documents, and shareholder details.

• Step 8 - Apply for visas: Process residence visas for shareholders, directors, and employees as required.

Licensing and Compliance Requirements

Operating an insurance consultancy in the UAE requires adherence to both free zone regulations and broader UAE financial services rules. Key compliance considerations include:

• Registration with the UAE Insurance Authority if services extend beyond pure consultancy into regulated advisory activities

• Anti-money laundering (AML) and counter-financing of terrorism (CFT) compliance, including maintaining appropriate internal policies and reporting mechanisms

• Annual licence renewal with the free zone authority

• Maintaining adequate professional indemnity insurance coverage

• Adherence to UAE data protection regulations when handling client information

Frequently Asked Questions

1. How much does it cost to obtain an Insurance Consultancies licence at Dubai South Business Hub Free Zone?

Costs depend on the chosen office package, number of visas, and any additional services required. Licence and registration fees are payable annually. It is advisable to contact the free zone directly for a current, itemised quotation tailored to your business requirements.

2. Can a foreign national own 100% of an insurance consultancy in Dubai South?

Yes. Dubai South Business Hub Free Zone permits 100% foreign ownership, meaning there is no requirement to appoint a UAE national as a local sponsor or partner.

3. Are there additional regulatory approvals required beyond the free zone licence?

Depending on the scope of services, engagement with the UAE Insurance Authority may be necessary. Pure consultancy and advisory services generally fall within the free zone licence remit, but any activity that could be interpreted as brokerage or direct insurance placement requires separate authorisation.

4. How long does the licensing process take?

The typical timeline from application submission to licence issuance is two to four weeks, assuming all documentation is in order and no additional regulatory approvals are required.

5. What profit margins can an insurance consultancy expect in the UAE?

Insurance consultancy is a high-margin professional services activity. Margins vary based on service scope, client base, and market positioning, but the UAE's growing demand for specialist risk advisory services supports strong revenue potential for well-positioned firms.

6. Can an insurance consultancy licensed in Dubai South serve clients in other countries?

Yes. A free zone entity may provide consultancy services to international clients. The licence permits the holder to advise clients globally, subject to compliance with the laws of the jurisdictions in which those clients are based.

7. What facility requirements apply to an insurance consultancy in the free zone?

A registered business address within the free zone is mandatory. Options typically include flexi-desk arrangements, co-working spaces, serviced offices, and dedicated units. The appropriate choice depends on the size of the team and operational needs.

8. Is professional indemnity insurance mandatory for insurance consultancies in the UAE?

While requirements vary, maintaining professional indemnity insurance is strongly recommended and may be required depending on the regulatory framework applicable to your specific services. It protects both the business and its clients in the event of professional errors or omissions.

Conclusion

Establishing an Insurance Consultancies business in Dubai through Dubai South Business Hub Free Zone offers a compelling combination of regulatory clarity, full foreign ownership, tax efficiency, and access to one of the region's most dynamic financial services markets. With Activity Code 6621.95 and a Business Licence under the Financial category, consultants and advisory firms are well positioned to serve a rapidly expanding client base across the UAE and beyond. Taking the time to understand licensing requirements, compliance obligations, and setup costs will ensure a smooth and successful market entry.

To begin your application or receive a tailored cost breakdown, contact the Dubai South Business Hub Free Zone authority directly and engage a qualified business setup adviser familiar with UAE financial services regulations.

References and Further Reading

• Dubai South Official Website

• UAE Insurance Authority

• UAE Ministry of Finance

• UAE Ministry of Economy

• Federal Competitiveness and Statistics Centre, UAE