How to Insure a Motorcycle in Pakistan: Third Party or Comprehensive

Third-party insurance is the cover the law asks for on a motorcycle in Punjab. Comprehensive cover, which also pays for your own bike, is optional. We read Jubilee General's own motorcycle page on 7 October 2026: it covers theft, fire and accident damage, charges 12.5% of the bike's value for a Honda and 10% for other makes, and adds a free Rs 100,000 rider accident cover.

Most riders never buy either. The bike feels cheap to replace, until it is stolen outside a market or a rider is hurt in a crash on a main road. Then the question is who pays.

This page covers what the law says, what comprehensive cover includes, what it costs, and how to claim. We name only the insurers whose own pages we opened.

The law asks for third-party cover on every motor vehicle

Section 94 of the Motor Vehicles Act 1939, in the copy published in the Punjab Code, says no one may use a motor vehicle in a public place without a policy that meets the Act. The Provincial Motor Vehicles Ordinance 1965 defines a motorcycle as a motor vehicle with fewer than four wheels. So a motorcycle falls under the rule.

The penalty is small. Section 125 allows up to three months in jail, a fine of up to Rs 500, or both. Section 34 of the Ordinance lets the registering authority suspend a vehicle's registration if it is not insured as the law requires. We did not find an official notice that explains how riders are checked on the road.

The bigger risk is not the fine. If your bike injures a pedestrian or another rider, the claim comes to you.

What third-party cover pays for, and what it leaves out

Third-party cover pays for harm your bike does to other people. Under section 95 of the Act, the policy must cover your liability for the death of, or bodily injury to, any person caused by use of the vehicle in a public place. It does not repair your own bike. It does not pay you if you are hurt.

The Act's own text mentions only death and bodily injury. Whether a basic third-party motorcycle policy also pays for property damage depends on the policy wording, so ask for it in writing.

What comprehensive motorcycle cover includes

Comprehensive cover pays for loss of or damage to your own bike, plus your liability to others. EFU General's motorcycle page and Jubilee's page list much the same risks: accident, fire, external explosion, burglary and theft, malicious acts, riot and strike, flood, earthquake, and transit by road, rail or air.

Jubilee's page adds third-party liability for death, bodily injury and property damage inside the same policy. So a comprehensive policy usually does both jobs at once.

The exclusions matter as much as the list. Jubilee's page excludes:

• wear and tear, depreciation and mechanical or electrical breakdown
• tyre and battery damage, unless the bike is damaged too, and then it pays 50% of the replacement cost
• loss from theft by a driver or someone the owner knows
• driving under the influence of alcohol or drugs
• war and civil unrest

What it costs, using Jubilee's published rate

Jubilee sets the premium as a share of the bike's insured value: 12.5% for a Honda and 10% for other makes. The same page limits cover to bikes made in 2022 or later, with a top insured value of Rs 350,000 and a 15% deductible on theft, snatching and burglary.

Here is the arithmetic for a bike insured at Rs 160,000, close to the Rs 159,900 price of a Honda CD 70 in our October price guide. This is our calculation, not a quote.

1. Honda: 12.5% of Rs 160,000 is Rs 20,000 a year.
2. Another make: 10% of Rs 160,000 is Rs 16,000 a year.
3. On a theft claim of Rs 160,000, the 15% deductible is Rs 24,000, which you carry yourself.
4. The free personal accident cover for the rider is Rs 100,000.

Premium rates change, so ask the company for a written quote on the day you buy. If you finance the bike, the lender may ask for takaful as well. Our comparison of bike instalment plans shows that Meezan lists 5% a year takaful as mandatory on its 0% plan, and that the PAVE e-bike plan is described as including insurance in each payment. We did not read PAVE's insurance terms on an official page, so treat that as reported.

How to claim after an accident or theft

Tell the insurer at once, report a theft to the police the same day, and keep every paper. The steps below follow the conditions on Jubilee's and EFU's own pages. Your policy wording governs, so read it before you ride away.

1. Tell the insurer at once. Jubilee asks for immediate notice of any claim. EFU has an online motor claim intimation form.
2. For theft, report it to the police straight away. Jubilee calls police notice mandatory.
3. If you lose the original registration papers, tell the company within 48 hours, on Jubilee's terms.
4. Keep photos of the bike, the FIR or police report, and every repair receipt.
5. Do not start repairs before the company has seen the damage, unless the policy allows it.

The steps are close to those for a car, set out in how to file a car insurance claim after an accident or theft. The one difference is that a stolen bike needs the police report on the first day. If the claim is refused without a clear reason, the route is the Federal Insurance Ombudsman, covered in how to complain when an insurance claim is refused.

Sindh and the other provinces may differ

We read the federal law as published in the Punjab Code. We did not read the Sindh, Khyber Pakhtunkhwa or Balochistan copies. Sindh is reported to have amended its motor vehicle law in March 2026 to make third-party cover mandatory. The reports we saw say the new rule applies to four-wheel vehicles and exempts motorcycles. We could not confirm that on the Sindh law itself, and the SECP press release on the change would not open for us. Treat the Sindh position as reported until you see the Act.

The same caution applies to insurers we did not verify. Adamjee, TPL and United were not confirmed to offer a motorcycle policy on their own pages, because their sites either did not open or did not show a bike product when we looked. Ask them directly.

Check the insurer before you pay

Buy only from an insurer or takaful operator licensed by the SECP. The SECP lists licensed companies under its Insurance Sector licensing pages. Pay the company directly, not an agent's personal account, and keep the certificate with the bike's papers.

Our car insurance guide explains how takaful differs from conventional cover, and the same rules apply to a bike. A Punjab rider who has just bought a bike should also see how to register a motorcycle in Punjab, since insurance and registration go together.

Common questions

Is motorcycle insurance compulsory in Pakistan?

Third-party cover is required for any motor vehicle used in a public place under section 94 of the Motor Vehicles Act 1939, and a motorcycle is a motor vehicle. Sindh is reported to exempt motorcycles from its new rule.

What is the penalty for riding without insurance?

Section 125 allows up to three months in jail, a fine of up to Rs 500, or both. The registering authority can also suspend the registration.

How much does comprehensive motorcycle insurance cost?

On Jubilee's page, 12.5% of the insured value for a Honda and 10% for other makes. On a Rs 160,000 bike that is Rs 20,000 or Rs 16,000 a year, by our calculation.

Does motorcycle insurance cover theft?

Comprehensive cover does. Jubilee's page lists theft and snatching with a 15% deductible and asks for an immediate police report. Third-party cover does not pay for theft.

Which companies sell motorcycle insurance?

Jubilee General and EFU General both list motorcycle comprehensive cover on their own pages. We could not confirm other insurers.

How we verified this

What we checked, where we read it, and what we could not confirm.

Last checked 7 October 2026. We read sections 93 to 111 and 125 of the Motor Vehicles Act 1939 in the Punjab Code, and the Provincial Motor Vehicles Ordinance 1965, including its definitions of a motorcycle and a motor vehicle. We read the motorcycle pages of Jubilee General and EFU General on their own sites. We did not read the Sindh, Khyber Pakhtunkhwa or Balochistan laws, and we quote no premium except Jubilee's published rate. Sources: Motor Vehicles Act 1939, Punjab Code, Jubilee General motorcycle comprehensive and EFU General motorcycle comprehensive.