KATHMANDU: The government has doubled the third-party insurance coverage requirement for vehicle owners to Rs 1 million.
Announcing the budget for fiscal year 2026/27 during the joint meeting of the Federal Parliament on Friday, Finance Minister Dr. Swarnim Wagle said the new provision will come into effect from the upcoming fiscal year.
Currently, vehicle owners are required to maintain third-party insurance coverage of up to Rs 500,000.
The revised insurance limit is expected to increase compensation coverage in road accident cases.
