Understanding Saudi Compulsory TPL Car Insurance Limits

We all know car insurance is compulsory, but with different types of coverage available, it can be confusing to understand what’s included. Third-party liability (TPL) insurance is the cheapest car insurance in Saudi — and while it keeps you legal on the road, TPL insurance has its limits; meaning it might leave you paying for unexpected costs!

Before you get stuck after a claim denial, let’s break down what TPL WON’T cover and why upgrading to comprehensive insurance might be a wise decision.

What’s covered by TPL insurance in Saudi Arabia?

Compulsory car insurance in Saudi Arabia, also known as Third-Party Liability (TPL) insurance, covers paying compensation for other people’s injuries and car repairs if you cause an accident.

So, if you are found at fault after a car accident in Saudi, your TPL insurance will cover:

• Repairs to damaged cars belonging to other people involved in the accident.
• Medical expenses or compensation for injuries sustained by third parties.
• In case of fatalities, TPL insurance will cover “blood money” (Diya) which is a legal compensation paid to the family of the deceased in Saudi Arabia.

There are a few things compulsory car insurance (TPL) wouldn’t cover

As TPL insurance focuses mainly on paying the expenses of other people involved in an accident you cause, it won’t be responsible for any of the following:

• Damage to your own car: Sadly, if you get into an accident, even if it’s your fault, TPL compulsory car insurance would not help pay to fix your car. This also means don’t expect to get a rental car that allows you to continue using a vehicle while yours is being repaired.
• Theft, fire, and vandalism: Imagine your car getting stolen or damaged in a fire or by someone vandalizing it. Your TPL insurance wouldn’t be able to help you in any of these situations, but your comprehensive insurance would help cover the repairs or replacement costs.
• Natural disasters: Unlike comprehensive car insurance, TPL wouldn’t cover any damage natural disasters cause.
• Injuries to yourself and your passengers: While TPL covers injuries to others, it won’t help cover medical expenses for you and your passengers if you’re injured in an accident.

Sometimes, a TPL claim can get rejected too

Let’s take a look at the most common reasons for a TPL claim being denied and how to keep them from happening to you.

• False or incomplete information: providing false information or leaving some details when buying your insurance, can invalidate your policy. In other words, you might have to shoulder all responsibility after accidents on your own.
• Staging an accidents. Yes, accidents happen, but causing them on purpose is insurance fraud! Najm detectives are skilled and trained to detect these cases easily. So, play it safe, unless you want to get into serious trouble!
• Expired Driving License. An expired license can cause claim delays and even rejections! Make sure to renew your driving license within 50 days of the accident date. This helps ensure your TPL claim gets processed smoothly.
• Driving underage. TPL car insurance only covers drivers 18 and above, as per Saudi Insurance Authority regulations.
• Driving under the influence. Driving under the influence of alcohol, drugs, or even some medications that affect alertness is a big no-no! Not only is it dangerous, but it will leave you paying accident costs.
• Hit and Run. Even if the accident seems minor, never leave the scene before Najm arrives. Skipping out can lead to voiding your insurance plus a hefty fine of 10,000 SR!
• Breaking traffic rules. Avoid reckless driving like speeding, running red lights, drifting, or racing. These actions can get your car insurance claim rejected.

• Accidents happening outside Saudi. PL insurance is only valid for accidents within Saudi Arabia. If you plan to travel to neighboring countries, consider getting comprehensive insurance and adding a geographical extension to it.

Shop around to get the best car insurance prices

In general, these cases could invalidate your car insurance in Saudi. Consequently, you might be responsible for paying compensation on your own. However, if you wish to be fully protected against damage and loss, go comprehensive. To get the best deals, use an insurance price comparison website. These websites provide a side-by-side comparison of different insurance policies, highlighting their features, coverage options, and prices. It enables you to understand what each policy offers and choose the one that best suits your needs.