Your vehicle is a prized asset which needs to be protected all year around. When you are on the road you should travel knowing you are protected.


Motor insurance, which is the most common of all the known classes of insurance, is designed to protect the insured for loss of or damage to his vehicle, damage to Third Party property including bodily injury and death to Third Parties caused by accident. The policy is vital especially when the property is pledged with a financial institution.

NIC provides Motor Insurance covers which include the following:

(a)      Third Party Risk Only Cover
This covers bodily injury including death to Third Parties caused by accidents occurring on public roads. Claimants’ costs and other costs incurred with NIC written consent are also recoverable. Third Party property damage is covered in addition to bodily injury and costs described above. Third Party property damage limited to UShs 10,000,000 is covered, whilst Bodily injury and Death are unlimited.

(b)      Third Party Fire and Theft Cover:
Loss of or damage to the insured vehicle caused by fire and theft is covered in addition to the covers available under the “Third Party Risk only” cover described above.

(c)      Comprehensive Cover:
This is the widest cover available in motor insurance as it covers loss of or damage to the insured vehicle is covered in addition to the covers available under the two described above.

Comprehensive Cover Insurance



  • Private Cars
    These are vehicles used for social, domestic and pleasure purposes.
  • Commercial Vehicles (Taxes, Buses and Hire Cars)
    These are vehicles used for carrying fare paying passengers.
  • Commercial Vehicles (Own Goods)
    These are vehicles used for carrying commercial goods owned by the insured.
  • Commercial Vehicles (General Cartage)
    These are vehicles used for carrying goods belonging to others for hire or reward.
  • Motorcycles
    These are two-wheeled auto-bicycles used for social, domestic; pleasure or commercial purposes.
  • Motor Trade Vehicles
    These are un-registered new vehicles owned by a corporate organization engaged in sales, services and repairs of vehicles.

COMESA– An extension of the local third-party


Third party personal injury & property damage Limits

  • As per the destination statutory limits per person in any one accident.
  • As per the destination statutory limits bodily injury & death per event in Aggregate per vehicle per year i.e Uganda Ush 1,000,000 per person per incident.


Private $ 160
Pick-ups $ 185
Lorries $ 350
Buses $ 210
Trailers (Head and Bed) $ 600
Tankers $ 600
Taxis $ 170
Motor cycles $ 50


  • Up to 20days-15% of annual
  • Exceeding 20 days to 30 days -20% of annual
  • Exceeding 1 month but not exceeding 2 months-30% of annual.
  • Exceeding 2 months but not exceeding 3 months -40% of annual
  • Exceeding 3 months but not exceeding 4 months-50% of annual
  • Exceeding 4 months but not exceeding 5 months -60% of annual
  • Exceeding 5 months but not exceeding 6 months -70% of annual
  • Exceeding 6 months-Full   annual premium.


Procedure for Private Car Insurance

  • A proposal form must be completed and personally signed, if need be.
  • An engineer’s report may accompany proposal for second hand vehicles.
  • Previous claims and insurance history will be considered when assessing proposals.
  • The proposer is also expected to submit a copy of current vehicle logobook.

Motorcycle Underwriting

Proposals from corporate bodies who have other businesses with NIC will be considered on accommodation basis for Comprehensive and Third Party only covers.

Comments made under private car underwriting would also apply here.

Motor Trade Policy

Motor trade policies are issued only to accommodate valued connections, as the policy is not for all-comers.

A completed and signed proposal form is highly desirable. Premises Risks cover is preferable to Road Risks cover. Previous insurance and claims history should be effectively used whilst assessing proposals on motor trade.


  • Wreckage removal, protection, towing charge
  • Loss of vehicle keys
  • Cost of importing rare spare of parts
  • Damages arising from riots, strikes, civil commotion
  • Breakage of windscreen and window glasses
  • Loss of car accessories
  • Personal accident
  • Others to be specified in the Policy


Optional Benefits (Private Motor)

  • Loss of Use
  • Strike Riots & Civil Commotion
  • Personal Accident