Sri Lanka Motor Insurance Premium Calculator

Sri Lankan motor third-party insurance is regulated by the Insurance Regulatory Commission of Sri Lanka (IRCSL) under Section 96A of the Regulation of Insurance Industry Act No. 43 of 2000. The Commission publishes a Minimum Premium Tariff that sets a floor on what any licensed insurer may charge for compulsory motor third-party (CMT) cover. The tariff is structured as a lookup table keyed on vehicle class and capacity, plus a small set of multipliers for use class and policy period. This calculator reproduces that lookup deterministically in TypeScript so you can see exactly how the number is built up.

Step 1 — Base premium lookup

Resolve the pair (vehicle class, capacity band) against the IRCSL schedule. Engine capacity in cc is used for motorcycles, cars and dual-purpose vehicles; seating capacity is used for buses; gross-vehicle-weight tier (light, medium, heavy) is used for lorries. Three-wheelers, tractors and special-purpose vehicles have a single flat row. The matched row gives the annual base premium in rupees.

Step 2 — Use-class loading

Private use applies a 1.00× multiplier — the base premium passes through unchanged. Hire and commercial passenger use applies a 1.50× loading because hire vehicles run many more hours and have higher claims frequency on the IRCSL data. Goods carriage uses its own row in the table (priced by GVW tier) so no additional loading is applied — that would double-count. The component only offers use classes that are valid for the chosen vehicle class.

Step 3 — Policy-period adjustment

The IRCSL uses a percentage floor for sub-annual policies rather than a clean linear pro-rata: 12 months at 100%, 6 months at 60%, 3 months at 35%, 1 month at 12% of the annual base after loading. This prevents insurers competing below the cost of issuing the certificate, and it is the reason a six-month policy is not exactly half the price of a 12-month policy. The calculator's breakdown line shows the period adjustment as a separate row so you can audit it.

Step 4 — Stamp duty

Every insurance policy issued in Sri Lanka carries a fixed Rs 25 stamp duty under the Stamp Duty Act No. 43 of 1982 (as amended). The duty is collected by the insurer and remitted to the Inland Revenue Department. It is added to the period-adjusted premium after all other calculations.

Optional — Comprehensive policy indicator

Comprehensive cover (own-damage, theft, fire and third-party combined) is not regulated. Premiums vary widely by insurer, vehicle age, claims history and rider package. The Insurance Association of Sri Lanka publishes industry summaries that put the typical motor comprehensive premium between roughly 1.8% and 3.5% of insured value per year, with the mid-range around 2.6%. The calculator multiplies the user-supplied market value by these three rates, applies the chosen no-claim discount, and adds the statutory third-party total. It is shown as a range, clearly labelled as an industry indicator, and is never presented as a quote.

Cross-check and rounding

The library exposes a second function, calculatePeriodPremiumByDailyRate, that derives the same period-adjusted premium by computing a daily rate ( annual ÷ 365) and multiplying by days-in-period, then flooring at the IRCSL minimum percentage. For policy periods of 3 months or longer the two paths agree to the rupee. For 1-month policies the linear-rate path falls below the 12% floor (linear ≈ 8.3%), so the floor binds — the calculator's primary function honours that floor, and the cross-check function does the same. Every monetary output is rounded to the nearest rupee using banker-safe Math.round.

Three scenarios that map to the most common Sri Lankan vehicle types, worked end-to-end against the IRCSL table. Plug each input into the calculator above — the breakdown should reproduce the same numbers to the rupee.

• Insurance Regulatory Commission of Sri Lanka — Circulars & Determinations (Minimum Premium Tariff)
• Ministry of Transport & Highways — Motor Traffic Act (Chapter 203) §99–§103
• Inland Revenue Department — Stamp Duty Act No. 43 of 1982 (insurance policies)
• Insurance Association of Sri Lanka — industry summary of motor comprehensive premiums

The IRCSL minimum-premium values and stamp duty in this calculator were last cross-checked on 2026-05-17. The page is reviewed whenever a new IRCSL circular or Stamp Duty (Amendment) Act is gazetted, and the verification date here is advanced to reflect that. The comprehensive-policy band is an industry indicator only, never a regulated rate.