Need for Vehicle Insurance in Saudi Arabia: It is very important in Saudi Arabia to cover your vehicle with the vehicle insurance. In the below lines, we have explained some reasons why it is very much important to ensure yourself and your vehicle. If you want to check the validity of your vehicle insurance, please click here. Saudi Arabia is one of those places where accident ratio is very high so you should never ever even think to drive your car without vehicle insurance.
According to Arab News, 19 people die daily in Saudi Arabia due to a road accident. It means 1 out of every 86 persons die in Saudi Arabia every 5 years due to road accidents in Saudi Arabia. If you are driving a car without vehicle insurance, you are actually putting yourself at high risk. This is just mortality rate which is in the cases of severe accidents. The number of normal accidents is at least 20 times more than that. Believe me, it is a blunder to drive a car without Insurance in Saudi Arabia.
Blood Money: It is an Islamic rule that if someone is died due to you, accidentally or intentionally, you will have to face the consequence which may lead to death. Now, this point should be noted that even if someone died in a road accident and it was not even your fault, still then you will have to pay the blood money. According to recent calculations made by Saudi Government, Blood Money (Diya) is set to be SR 300,000/- for unintentional cases and SR 400,000/- for murder cases. It is actually valued equivalently to 100 camels. If you don’t pay blood money, you will be hanged to death. Now just think, if you are not insured and more than one person dies in a road accident involving you, how would you arrange money? Claiming Blood Money for someone who has died in KSA is not an easy task to perform. I have explained it in this article for your ease. “Death Compensation Procedure“
Processing case of Road Accident: We have explained the Process in case of Road Accident in this article.
Types of Vehicle Insurance in Saudi Arabia: There are two types of vehicle insurances which are generally used in Saudi Arabia.
Third-Party Insurance: This insurance is a must for your vehicle. It covers the other party in case of an accident involving your mistake. Nowadays, coverage of insurance companies is enough to provide for blood money of 3 persons. When getting the vehicle insurance for your vehicle, make sure to check how many persons are covered in it. What is the coverage amount? Coverage amount in case of third-party insurance which my friend booked was SR 10 million. You are going to ensure the other party’s vehicle in case of an accident involving your mistake. It means another party will have to look for the insurance claim. So, even if you take the insurance policy of some low-rated company for the lower rates, it will be perfect for you. There is no need to contact insurance companies with premium rates like Tuwaniya.
Comprehensive Insurance: In comprehensive insurance, both parties are covered in case of any accident. If your vehicle is damaged in case of an accident involving your fault, your insurance company will provide you all the repair and maintenance. People purchasing new cars should take comprehensive insurance. Normally insurance companies don’t insure your vehicle for comprehensive insurance if it is more than 10 years old. If you want to see the list of approved insurance companies in Saudi Arabia, click here “List of Approved Insurance Companies” You can also add some features on your vehicle insurance by paying some more money e.g. Provision of a courtesy car if the insured vehicle needs repairing, Roadside assistance and recovery services, Off-road driving (in an off-road vehicle), International cover when driving in Bahrain, Qatar or other Gulf Co-operation Council countries. You are going to insure your vehicle in case of an accident. It means you will have to go through all the processes of claiming the money. Now you should look for a well-reputed company since your personal stake is involved. Even if you have to pay some more money, you should pay it for some premium insurance companies.
Documents Required for Insurance: Following documents are required to be submitted to the insurance company if you want to insure your vehicle in Saudi Arabia.
- Valid passport
- Iqama (residence permit)
- A valid driving license
- Istimara (vehicle registration)
- Proof of vehicle ownership
- Proof of any no-claims discount