Understanding the car insurance is very important before buying. There are two types of car insurance available in Bangladesh as per the following:

1. Comprehensive (Full) Coverage: This insurance provides the following coverages in case you face an accident/incident:

• Accidental Damage & Theft: If your car gets damaged in a road traffic accident then you will face a repair bill. Insurance company provides the financial support for repairing your car (subject to applicable terms). Accidental damages include self ignition and simultaneous fire following an accident. This coverage will also provide financial compensation in case you face a theft/robbery (whole car or some parts - subject to applicable terms).
• Motor Liability: If you cause a damage to someone else while using the car in the streets, you may get charged with a fine or penalty. Your car may cause property damage or death/injury/permanent disability to a pedestrian along with the driver and passengers of your car or another vehicle in the street. Insurance company takes care of the liability arising out of such loss/damage to a third party caused by your car while using in the public streets.

Additionallly, you can take the following add-on coverages for your car, if you have such risk exposures:

• Riot & Strike Damage: Damage to your car due to riots, strikes, and similar vandalist activities.
• Earthquake Damage: Following an earthquake, your car may get damaged due to falling objects such as stones, bricks, ceilings, trees, buildings, etc. There can be landslides during or after an earthquake which may damage to your car.
• Flood & Cyclone Damage: If you use your car in a coastal area where natural disasters are more common/frequent, then you should take this add-on coverage as it will provide financial compensation in case your car gets damaged due to a natural disaster. Waterlogging in the metropolitan areas following heavy rain is also very common now-a-days and this add-on will provide coverage in such cases as well.

2. Motor Liability Coverage Only: This is also included in the Comprehensive (Full) Coverage insurance policy but you can buy this as a standalone policy if you want to stay protected against third-party liability only due to use of your car in public places. This poliy does not provide any financial compensation against any damage to your car, rather it only covers third-party liability when your car causes a damage to property or pedestrains. This policy's premium is very low as it will not cover your car against any damage.

Selecting the right insurance and add-on coverages can be often tricky and confusing. In order to ger proper financial protection for your car, you should take a Comprehensive (Full) Coverage insurance policy with maximum add-ons. However, the price (or premium) may exceed you insurance budget and in such cases, you may need to discard some of the add-ons.

If your car is more than 7 years old (from the initial registration date) then a Comprehensive (Full) Coverage insurance may not make sense for you because the depreciation rule will be applicable in case of a claim which may reduce the approved claim amount.

If you purchase a car using bank finance or loan facility, or a hire purchase agreement, then your lender may ask you to get a Comprehensive (Full) Coverage insurance policy with specific add-ons. Please check your loan sanction letter's terms and conditions or consult with your lender before taking the insurance to avoid any discrepancy.

If you decide not to take a Comprehensive (Full) Coverage insurance due to budget constraints, you may take an affordable Motor Liability Only coverage but remember that it will not provide any benefit if your car gets damaged or stolen. Motor Liability insurance provides financial compensations to a third party (other than you) who got affected due to your use of the car in public places such as roadside propoerty/vehicle damages, driver or passenger deaths and disabiltiy, pedestrian death or disability, etc.

Car insurance premium varies based on the car's cubic capacity, seating capacity, price, etc. All premiums are calculated on a yearly basis and are payable in advance.

There are certain cases where insurance coverage is not applicable. Some of the notable exclusions are as per the following:

• Any illegal activity (such ase driving without a valid license, driving under the influence of alcohol/drugs, wrong side driving, overspeeding)
• Car racing or rallies, stunt activities, including any sort of motorsport
• Illegal parking (applies if the car or any part of it gets stolen while its parked in a non-designated parking sopt)
• Failure to take reasonable precaution to avoid a hazard (such as parking under a tree during a storm)
• Regular wear and tear, mechanical failures or breakdowns
• Using the car in a different purpose than the limitation as to use (such as using a private car for commercial purposes)
• Any contractual liability or consequential loss, etc.

Claiming for your insurance benefit is easy when you buy the insurance policy from Bimafy, cause you will get free claim assistance from us. The list of required documents are provided on the insurance policy details section, you can check them after getting a price quotation. For any assistance, please contact our claim assistance service at +8801404033080 (Sunday to Thursday, 10AM to 6PM, except govt. holidays).

Please note that if your car gets damaged or stolen, you must notify the insurance company immediately and you should not remove the vehicle from the accident/incident site without the prior approval from the insurance company. So please notify as soon as possible regarding the incident.

In case you cause damage to another car/roadside property or a driver/passenger/pedestrian then the incident should also be immediately reported to the insurance company. However, in any case, you will get free claim assistance from Bimafy to complete the documentation and other associated process.

Motor car insurance claim payments are made based on the loss assessment report. Once the incident/accident is reported to the insurance company, they will appoint an external surveyor to assess the loss (i.e. repair or replacement cost, medical bills in case of a bodily injury to the driver/passenger/pedestrian - as applicable to different situations). Once the loss assessment is done, the covered expenses shall be reimbursed to the beneficiaries accordingly. The entire process may take up to one to complete.

To know more about motor car insurance and for any other information, send us an email or call Bimafy Customer Support.

Customer Support Hotline: +8809606991991 or +8801892090020

E-mail: cs@bimafy.com