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Private Motor Insurance

private motor insurance in tanzania

What type of motor insurance do I need?

When it comes to choosing which private motor insurance to buy, there are 3 types of covers available in the market today (see tab below for more details:

  1. Comprehensive
  2. Third Party Fire & Theft (T/P FT)
  3. Third Party (T/P)

Which option is right for you depends on the level of cover you require and how much you are willing to pay. For a brief description and benefit summary of each option visit the Types of Cover tab in the information box below.

Find the value of your vehicle here.

Click here to get an instant private motor insurance quote.

This includes all those vehicles taken for the grant of private use by their insured owners. It usually includes covers such as comprehensive package, third party fire and theft, and Third Party only in whom their coverage has been explained as above mentioned.

In the insurance world the term motor cycle includes any kind of cycle propelled mechanically and includes mopeds, there are a wide range of risks as in motor vehicles.

Standard cover

The standard of comprehensive motor cycle policy is much the same as that of the private motor policy, therefore we need only to identify the main difference between the motor cycle policy and private policy.  And this can be explained in the following exceptions as below:

  • No cover provided for the theft of accessories or spare parts unless the motor cycle itself is stolen at the same time.
  • There is no personal accidents benefits, medical expenses or personal effects cover.
  • The liability section general indemnifies the insured or his personal representatives in the event of the insured death, if others are permitted to drive the motor cycle then would also be indemnified as would users of motor cycle for social and pleasure purpose.

Comprehensive insurance provides full coverage for your vehicle against own damage, theft, fire, and damages to other people’s properties and/or bodily injuries. With comprehensive cover you will receive compensation for the damage to your own vehicle even if you are at fault for the accident, per the terms of the policy.

Benefits Include:

  • Stolen and not recovered
  • Damage either during attempted theft or while it is stolen
  • Includes the cost of repairs of the insured if their vehicle is damaged by fire, lightning, and explosion.
  • Legal costs incurred in the defence of a claim
  • Third party property damage (limit)
  • Indemnity to passengers, employers or business partners should they held responsible for an accident etc.

Comprehensive insurance for private vehicles in Tanzania also comes with several nice extensions/add on covers to enhance the coverage at nominal additional premiums:

  1. Loss of Use
  2. Excess Buy Back
  3. Extension of geographical limits beyond Tanzania/East Africa
  4. Card Tracking Device discount
  5. Fleet discounts, as applicable by the regulations guidelines.

Third Party Fire & Theft insurance provides the same level of cover as Third Party but with added cover if your car is stolen or damaged by fire. The insurance will pay up to the agreed value to repair or replace the insured vehicle if your vehicle is stolen or completely damaged by fire risks.

This cover does not protect your vehicle if it is involved in as accident. If it is not your fault the third party who may have caused the damages to your vehicle, will compensate you if the court wards the judgement to your favor. If you are not at fault, the insurance of the responsible party will cover your costs.

Covers:

  • Any legal liability in respect of bodily injury or death to third parties.
  • In respect of third party property damage.
  • Indemnity for the liability of passenger.
  • Legal costs to defend a claim.
  • The cost of repair or compensation of the insured if the vehicle is stolen.
  • Damaged during theft or attempted theft Damage by fire, lightning or explosion.

Benefits Include:

  • Includes the cost of repairs of the insured if their vehicle is damaged by fire, lightning, and explosion.
  • Damage either during attempted theft or while it is stolen.
  • Stolen and not recovered.

This is the minimum level of cover required by Tanzania law. If you, the insured, have an accident and you are at fault, your Third Party policy will only compensate the other parties involved. They will be compensated for damages to their vehicle(s), properties, or any injuries that they sustain. You will not receive any compensation for damage to your car or injury to the driver or owner of the vehicle.

Third Party insurance will also not compensate you for loss or damage to your vehicle due to fire or theft. If you are not at fault, the insurance of the responsible party will cover your costs. The cover you get with Third Party insurance is pretty limited and you still leave yourself open to significant losses.

Covers:

  • Any legal liability in respect of bodily injury or death to third parties.
  • In respect of third party property damage
  • Indemnity for the liability of passenger Legal costs to defend a claim.

Benefits Include:

  • Cover for vehicle whilst on the road or in public place but remaining within the territorial limits.
  • Third party property damage (limit) for private cars.
  • Legal costs incurred in the defence of a claim.
  • Indemnity to anyone who is driving or using the vehicle on the insured’s order or permission unless as is very common driving is restricted to named individuals or husband and wife only.
  • Indemnity to passengers, employers or business partners should they held responsible for the accident.
  • Indemnity for accidents which occur where the insured is driving a car that does not belong to them. Note all insurers provide this cover; those that they do have agreed to introduce market wording o that the extension of cover is not used for securing the release of vehicle seized by ht police (since this could have effect of putting uninsured vehicle beck on the road)

The risks associated with motor vehicles include:

  • Loss of part or the whole vehicle due to fire, theft or accidental damage.
  • Damage to third party property.
  • Injury to the third party.
  • Death/disability to third party.
  • Medical expenses.
  • Loss of income following an accident (loss of use).
  • Legal costs to defend a claim

Requirement For Obtaining Insurance:

(For Third Party, Third Party Fire and Theft and Comprehensive)

  • Vehicle registration card – that will provide most of the general info needed like:
    • Name of insured
    • Address of insured
    • Type and details of vehicle the vehicle
  • Value of the vehicle – for Comprehensive and TPFT covers

  • 3.5% claims free vehicle
    5% of Claim, Min
    Tshs 350,000 but
    double in case of
    Total theft Claim.
  •  4% with claim record
    Minimum Premium Tshs
    250,000

Find the value of your vehicle here(Only indicative rates subject to specific insurers approval.)

Third party only

  • Private cars– TZS100,000
  • M/cycle– TZS 50,000, add TZS 15,000 for two wheelers carrying passengers.
  • Three wheelers– TZS 75,000, add TZS 45,000 for three wheelers carrying passengers.

2% plus TPP (Minimum
premium Tshs 200,000

No liability for loss/damage caused,

  • Outside the geographical area.
  • Vehicle is used by unauthorized driver.
  • Losses due to war and allied perils.
  • Radioactive contamination and explosive nuclear assembly
  • Riot and civil commotion
  • Sonic bangs (that is pressure waves from sonic/supersonic aircraft or other aerial device)
  • Pollution and contamination unless arising from a single identifiable event.

In the event of an accident you should provide the following information / documentation:

  • Details of the insured vehicle:
    • Copy of the vehicle registration card
    • Copy of the Insurance cover note
    • Copy of the Driver’s licence (front and back)
  • Police reports:
    • Preliminary police report – PF90
    • Vehicle inspection report – PF93
    • Sketch map
    • Final Police report - PF115
  • Estimate cost of repair from the garage.
  • Completed claim form
    • Do not admit responsibility or sign any statement to that effect. Contact us to report the incident as soon as possible

In case of third party involvement, the following will be required from the third party:

  • Details of the third party vehicle:
    • Copy of the vehicle registration card
    • Copy of the Insurance cover note
    • Copy of the Driver’s licence (front and back)
      Police reports:
    • Preliminary police report – PF90
    • Vehicle inspection report – PF93
    • Sketch map
    • Charge sheet
    • Court judgement
    • Final Police report – PF115
  • Estimate cost of repair from the garage.

If Your Car Is Stolen You Should:

  • Report the incident to the nearest Police Station and notify Mawenzi Insurance Brokers by calling 0769 951 736 as soon as you discover the vehicle is missing.
  • Get investigation report from the Police.
  • Complete the claim form and send us the completed claim form.
  • If your vehicle is not recovered within 14 days please send us the keys and original Vehicle Registration Certificate. If your car is recovered you should contact us 0769-951-736 immediately and let us know the location of your car.

A claim: refers to a request to be reimbursed filed by the insured and address to the insurer.

Loss: is the occurrence of an insured event, such as a fire

Policy holder: is a person who buys insurance but when they make a claim they are referred to as a claimant.

Excess: Is amount of deduction payable by insured from the net loss assessed. Per standard Excess rates, if the vehicle is stolen, Insured will be compensated by 90% and pay Excess (deductible) of 10%. If it’s a partial loss or total loss from accident, insured will pay 5% Minimum 350,000 for private vehicles or 500,000 for commercial rate – please refer to the rate chart for more specific excess applicable to your vehicle.

 

PRIVATE MOTOR INSURANCE COMPARISON

BENEFITS COMPREHENSIVE THIRD PARTY FIRE & THEFT THIRD PARTY ONLY
Own vehicle Damages YES YES on Fire and Theft Only NO
Theft YES YES NO
Windscreen YES NO NO
Fire YES YES NO
Bodily Injuries to third Parties YES YES YES
Property Damage to Third Parties YES YES YES
Towing Charges YES NO NO
Cost Best Value Partial Value Low Value
Death and Bodily Injury – Third Party Only