Car owners follow the price of the compulsory auto insurance policy in Egypt constantly as it equates to changes in the value of the Egyptian pound because this policy is compulsory and the car owner is not permitted to dodge responsibility, which could be dissent work since the insurance compiles damages that occurred either partially or totally to the car, again provided that the Egyptian traffic law is not violated.
What is compulsory insurance for a car in traffic?
Compulsory insurance is one of the main documents accompanying the owner's obtaining a car license, as it is issued by the law responsible for car insurance in Egypt, where the owner is not entitled to pay the value of compulsory insurance that allows the owner to drive on public roads, and this is done by paying the insurance value, which is determined based on:
Car type.
Engine capacity.
In Egypt, compulsory car insurance comprises road accident coverage or any other damage caused to the car fundamentally for the welfare of public utilities and not the car owner.
There is no specific price of the compulsory car insurance policy, and the determination of the amount depends on several criteria, which focus on:
Engine capacity.
Car type.
Year of production.
To be reminded that the cost of insurance, taking into account the volatility of the Egyptian pound, can change and make sure the price of the compulsory car insurance policy is not fixed, it is important to get the current price periodically.
When it comes to auto insurance in Egypt, one of the most important things is comprehending the way the policies’ rates are set because this helps you get the ideal coverage at the lowest fees possible. Insurance premiums for a car in Egypt differ as various elements are taken into consideration while determining them.
1. Vehicle Specifications:
The make, model, year of manufacture, engine, and worth of the vehicle define key issues. Typically, the premiums for insured vehicles with higher price tags or premium class will be higher since the repair or replacement costs are considerably increasing.
2. Driver's Age and Experience:
Beginners and inexperienced are more likely to have high rates of collision, thus paying for their premium at higher costs. However, on the other hand, senior drivers, and those with a lot of driving experience may enjoy getting better premiums.
3. Driving History:
The tendency of insurance companies to scrutinize a driver's past driving record and use the information to their advantage while determining the premium rates cannot be ignored. High-risk drivers with a record, particularly those with accidents or traffic violations, will also be charged a higher rate.
4. Coverage Type:
It is an expensive type of insurance that is chosen which is what most affects your insurance premium. Comprehensive coverage, which encompasses the protection of cars against car theft, vandalism, and other non-collision factors, usually comes with a higher price than basic third-party liability insurance.
5. Additional Features:
Besides that, some insurers offer some extras like estate agency repair, roadside assistance, or accessory cover. Whether the policyholder takes the extras influences the final price of the insurance.
The annual insurance amount on the car depends on its engine capacity, where:
A car with an engine capacity of 1030 cc is estimated annually at a value of 225 EGP.
A car with an engine capacity above 1030 cc up to 1330 cc is estimated annually at a value of 350 EGP.
A car with an engine capacity above 1330 cc up to 1630 cc is estimated annually at a value of 750 EGP.
A car with an engine capacity above 1630 cc until 2030 cc is estimated annually at a value of 800 to 3000 EGP.
Considering that the insurance value decreases by 10% annually since the date of production of the car.
How much does a driving license cost in Egypt?
In Egypt, the money needed to obtain a driver's license is affected by a few factors like the type of the license and the driving school picked. In general, the average cost of the driving license at the time of the first outing is from EGP 2000 to EGP 5000. The list comprises the different payments that are made for the practice driving lessons, medical tests, and administrative fees respectively.