What each policy covers in Nepal, real premium examples, and when full insurance is worth it
Third-party is the compulsory minimum in Nepal — it covers people you injure and property you damage, at a fixed NIA-tariff price (identical at every insurer). It pays nothing for your own vehicle.
Comprehensive ("full") insuranceadds own-damage cover — accident, fire, theft — for roughly 1.5% of a two-wheeler's value (car slabs 0.84–1.12%) per year, before no-claim discounts of up to 35%.
Rule of thumb: new, financed, or high-value vehicle → comprehensive; very old low-value vehicle → third-party can be rational. Banks require comprehensive cover on financed vehicles.
| Vehicle | Third-party only | Comprehensive | Extra for full cover |
|---|---|---|---|
| Scooter (110cc, value Rs 2.5 lakh) | रु 1,705/yr | ~रु 5,943/yr | ~रु 4,238/yr |
| Bike (150cc, value Rs 5 lakh) | रु 1,931/yr | ~रु 10,406/yr | ~रु 8,475/yr |
| Hatchback (1200cc, value Rs 30 lakh) | रु 8,485/yr | ~रु 40,803/yr | ~रु 32,318/yr |
| EV car (under 50 kW, value Rs 40 lakh) | रु 7,355/yr | ~रु 40,577/yr | ~रु 33,222/yr |
NIA tariff figures incl. 13% VAT and stamp duty; comprehensive assumes a brand-new vehicle at the stated declared value with no voluntary excess or no-claim discount. Run your own numbers →
| Cover | Third-party | Comprehensive |
|---|---|---|
| Injury/death of others (up to Rs 5 lakh/person) | ✓ | ✓ |
| Damage to others' property | ✓ | ✓ |
| Driver & passenger/pillion accident cover | ✓ | ✓ |
| Damage to your own vehicle (accident) | ✗ | ✓ |
| Fire damage to your vehicle | ✗ | ✓ |
| Theft of your vehicle | ✗ | ✓ |
| Riot/strike/terrorism damage | ✗ | Optional add-on |
| Required for bluebook renewal | ✓ (minimum) | ✓ (includes it) |
Death or injury you cause to another person (up to Rs 5 lakh per person), damage to others' property, and bundled personal-accident cover for the driver (and pillion on bikes). It pays nothing for damage to your own vehicle — that needs comprehensive cover.
Everything in third-party, plus own-damage cover: accident damage to your own vehicle, fire, and theft. Premium is about 1.5% of the declared value per year for two-wheelers (0.84–1.12% slabs for cars), with age loadings and no-claim discounts.
Example: for a 150cc bike worth Rs 5 lakh, third-party alone is रु 1,931 per year, while a comprehensive policy is about रु 10,406 — the difference buys cover for your own bike against accident, fire and theft.
It keeps you legal (and is all you need for bluebook renewal), but any damage to your own vehicle is fully out of pocket. The rule of thumb: newer or financed vehicles should carry comprehensive; for an old low-value vehicle, third-party plus savings can be rational.
The no-claim discount (15%, 25%, 35% for 1, 2, 3+ claim-free years) applies to the own-damage portion of a comprehensive policy. The third-party tariff itself is fixed by the NIA and does not change.
Get the exact premium for your vehicle with the insurance calculator, buy or renew a policy via online renewal, or read how to claim after an accident.