Insurance & Coverage
Every booking on Book Now Nepal includes baseline coverage by law. Here's exactly what's included, what's optional, and what to do if something goes wrong.
Standard Coverage
Included automatically with every booking at no additional charge, as required by the Motor Vehicles and Transport Management Act, 2049 (Nepal).
Third-party bodily injury liability — covers medical costs for injuries caused to other people
Third-party property damage liability — covers damage to another person's vehicle or property
Legal defence costs arising from third-party claims, up to policy limits
24/7 roadside assistance coordination through Book Now Nepal support
Optional Damage Protection
Standard coverage does not cover damage to the rented vehicle itself. Add a protection plan at checkout to reduce or eliminate your out-of-pocket exposure.
Basic Protection
NPR 500/day
Reduces your liability for damage to the rented vehicle from the full security deposit to NPR 10,000.
- Own-vehicle damage cover
- Theft protection (partial)
- Glass & tyre excluded
Premium Protection
NPR 1,200/day
Reduces your liability to zero for most damage scenarios. Ideal for off-road routes and mountain drives.
- Full own-vehicle damage cover
- Theft protection (full)
- Glass & tyre included
- Personal accident benefit
Protection plans can be added up to 12 hours before pick-up via your booking dashboard or by contacting support.
What's Not Covered
The following situations are excluded from all coverage levels, including optional protection plans.
Damage caused while driving under the influence of alcohol or drugs
Damage from racing, rally, or speed testing
Unauthorised cross-border use
Damage from deliberate or reckless misuse
Mechanical or electrical breakdown due to lack of maintenance
Personal belongings left inside the vehicle
Damage to a third party caused by an unregistered additional driver
Fines, traffic violations, or toll charges
Security Deposit
A refundable security deposit is collected before vehicle handover. The deposit amount varies by vehicle and is displayed on the booking summary page before you confirm.
The deposit is fully refunded within 7 business days of return, provided the vehicle is in its original condition. If damage is found, the cost of repairs (up to your liability level) is deducted before the remainder is refunded.
If you have purchased an optional protection plan, your maximum deductible is reduced to the plan limit. With Premium Protection, your deductible is NPR 0 for covered incidents.
In Case of an Accident
Follow these steps in order. Acting quickly protects everyone involved and ensures your claim is processed without delay.
Ensure Safety
Move to a safe location, call 100 (Nepal Police) if there are injuries, and seek medical attention if needed.
Document the Scene
Take clear photos of all vehicles involved, any damage, the road/environment, and the other party's licence plate and ID.
Notify Book Now Nepal
Call our 24/7 support line (+977-1-4XXXXXX) or use the in-app chat within 2 hours of the incident. Delayed reporting may affect your claim.
File a Police Report
For accidents involving third-party damage or injury, a police report (case number) is required before a claim can be processed.
Submit Your Claim
Email claims@booknownepal.com with photos, the police report number, and a brief description. We aim to respond within 2 business days.
Filing a Claim
Send your claim to claims@booknownepal.com with the following attached:
- Your booking confirmation number
- Photos of all damage and the surrounding scene
- Police report number (required for third-party or injury claims)
- Names and contact details of any other parties involved
- A brief written account of what happened
We aim to acknowledge all claims within 2 business days and resolve straightforward cases within 10 business days. Complex claims involving third-party insurers may take longer.
Frequently Asked Questions
Am I automatically insured when I book?
Yes. Third-party liability coverage is included in every booking at no extra cost, as mandated by Nepalese law.
Does insurance cover me if someone else was driving?
Only if that person was registered as an additional driver before the rental began. Coverage does not extend to unregistered drivers.
What happens to my security deposit after a claim?
If a claim is filed, the deposit is held until the claim is resolved. Any repair costs within your liability are deducted; the remainder is refunded.
Can I purchase optional protection after I've already booked?
Yes, up to 12 hours before your pick-up time. Go to Dashboard → My Bookings → Add Protection, or contact support.
Does coverage apply on mountain or off-road routes?
Standard coverage applies on all public roads in Nepal. Off-road or restricted tracks may void coverage unless Premium Protection is purchased and the route is pre-approved.