There are different type of motor insurance available in Nepal. Various Non life insurance companies are providing vehicle insurance packages in different pricing module.

Car, Bike, and EV Vehicle Insurance in Nepal: Insurance Renew Charge

1. Types of Motor Insurance in Nepal

There are  two types of motor insurance available in Nepal:

1. Third-Party Insurance:
   For example, if your vehicle hits another vehicle or injures someone, the insurance company will pay the compensation. In this type of insurance, there are three parties involved and they are First party: You (the policyholder) Second party: Your insurance company Third party: Any other person who suffers loss, injury, or damage because of the accident. Your insurer ( Insurance company)  pays for the loss on your behalf but the damage that you may have suffer or your vehicle won’t get any compensation from the company. Common examples 1. Third-party car insurance Covers damage you cause to another person’s vehicle, property, or injuries to them. It does not cover damage to your own car.
2. Often called as a full party Insurance:
   This provides wider coverage, including damage to your own vehicle, loss due to the different factors like accidents, theft, fire, or natural calamities. This might be the best insurance policy that you should do.

2. How to Get Vehicle Insurance in Nepal

There are several insurance companies that works on Vehicle segments. You can easily get the insurance policies from any non-life insurance company.

3.How Much Does Vehicle Insurance Cost in Nepal?

Insurance cost for Private Cars

• Vehicle below 1000cc: 0.84% of the declared value for up to Rs. 20 lakh, 1.12% for any value above that, plus Rs. 3,000 service charge.
• Vehicle between 1000cc to 1600cc: 0.87% up to Rs. 20 lakh, 1.12% above that, plus Rs. 4,000.
• Vehicle above 1600cc: 0.90% up to Rs. 20 lakh, 1.12% above that, plus Rs. 6,000.
• Vehicles older than 10 years are charged an additional 10% on the total premium.

• Minimum premium for private vehicle damage coverage is extra Rs. 2,000.

Insurance cost  for EV In Nepal

• Ev up to 20 kW: 0.63% up to Rs. 20 lakh, 0.84% above that, plus Rs. 3,000.
• Ev above 20 kW: 0.65% up to Rs. 20 lakh, 0.84% above that, plus Rs. 4,000.
• For electric vehicles older than 10 years, an extra 10% premium is applied.
• Electric vehicles generally have lower insurance costs than petrol or diesel vehicles.