Property insuranceAbout Sagarmatha Lumbini Insurance

Property insurance price at Sagarmatha Lumbini Insurance

The Nepal Insurance Authority sets the lowest premium allowed for every Rs 1,000 insured. Sagarmatha Lumbini Insurance charges at least this, and can charge more.

Insuring

Sum insured50 lakh

Shop or business in it

Policy period

How you buy

Not sure which policy? Answer a few questions

A House policy covers the building and what is kept in it. Set the sum insured above and the premium updates below it.

Minimum premium

House policy

Rs 2,845

for a year, VAT and stamp duty included

How the minimum premium is built, step by step
Operation	Step	What the directive sets	Your premium
	What you insure it forWhat it is worth today	What it is worth today	Rs 50,00,000
×	Fire and allied perilsRs 0.40 per Rs 1,000: the House rate of Rs 0.50 up to Rs 1 crore (s.35(2)), less the riot and terrorism part	Rs 0.40 per Rs 1,000: the House rate of Rs 0.50 up to Rs 1 crore (s.35(2)), less the riot and terrorism part	Rs 2,000
+	Riot, strike and terrorismRs 0.10 per Rs 1,000: the riot and terrorism part of the rate (s.30)	Rs 0.10 per Rs 1,000: the riot and terrorism part of the rate (s.30)	Rs 500
=	Premium for a year		Rs 2,500
+	VAT13% of the premium	13% of the premium	Rs 325
+	Stamp dutyFixed	Fixed	Rs 20

	Minimum premium, a year		Rs 2,845

Rs 0.50 per Rs 1,000. House rate up to Rs 1,00,00,000. Steps that aren’t part of this price are folded at the end of the table.

Important notes

NIA minimum rate: an insurer may charge more (directive s.43–44).

Insure the full value. Insure at least 85% of what it would cost to rebuild or replace, or a claim is cut in proportion. Small losses (up to 10% of the sum insured or Rs 10 lakh, whichever is less) and total losses are not cut.

No waiting period. Cover starts at the date and time on the schedule, at most 7 days after the policy is issued.

Source: the Nepal Insurance Authority’s Property Insurance Directive, 2080.

House policy

Read more