Your Guide to Car Insurance in Bangladesh

Finding the right car insurance in Bangladesh can feel complicated. Prices and coverage options vary, and it's hard to know if you're getting a fair deal. Our Car Insurance Premium Calculator is designed to bring clarity and simplicity to this process. By entering just a few details about your vehicle, you can get a reliable, instant estimate of your annual premium. Whether you're driving in Dhaka, Chittagong, or anywhere else in the country, this tool helps you budget and plan with confidence.

How to Use This Calculator

  1. Select Car Brand: Choose your car's manufacturer from the list.
  2. Enter Manufacture Year: Input the year your car was made.
  3. Enter Engine CC: Provide your car's engine capacity.
  4. Choose Coverage Type: Select 'Comprehensive' or 'Third Party'.
  5. Click Calculate: Instantly see estimated premiums from leading insurers.

How Premiums Are Calculated

Insurers in Bangladesh assess several key factors to determine your premium. Understanding them helps you see why costs can differ.

  • Type of Coverage: This is the biggest factor. Comprehensive insurance is more expensive because it covers damage to your own car plus third-party liabilities. Third-Party Liability is cheaper as it only covers damages to others, but it's the minimum legal requirement.
  • Insured's Declared Value (IDV): This is your car's current market value. A newer, more expensive car has a higher IDV, leading to a higher premium for comprehensive plans.
  • Engine Capacity (CC): Higher CC cars are often more powerful and costly to repair, which can increase the premium.
  • Age of the Vehicle: As a car gets older, its IDV decreases due to depreciation. This generally means the premium for comprehensive coverage also goes down for older cars.

Frequently Asked Questions (FAQ)

1. What is the difference between Comprehensive and Third-Party insurance?

Third-Party Liability is the basic, mandatory insurance required by law in Bangladesh. It covers legal liability for any injury, death, or property damage caused to a third party. It does NOT cover any damage to your own vehicle. Comprehensive Insurance includes third-party liability AND covers loss or damage to your own vehicle due to accidents, theft, fire, and natural disasters.

2. Is car insurance mandatory in Bangladesh?

Yes, at a minimum, Third-Party Liability insurance is mandatory for all vehicles operating on public roads in Bangladesh as per the Road Transport Act.

3. What is IDV (Insured's Declared Value)?

IDV is the maximum amount the insurance company will pay if your car is stolen or damaged beyond repair (total loss). It represents the current market value of your vehicle. The IDV decreases each year due to depreciation.

4. How can I lower my car insurance premium?

You can potentially lower your premium by maintaining a good driving record to earn a No Claim Bonus (NCB), choosing a higher deductible, installing security devices in your car, and comparing quotes from different insurers to find the best rate.

Disclaimer

This calculator provides an estimate for informational and educational purposes only. It is not an official quote from an insurer. The final premium offered by an insurance company can vary based on the exact condition of the vehicle, your driving and claims history, selected add-ons, and their internal underwriting guidelines. For a final quote and to purchase a policy, please contact an authorized insurance company directly.