Ask three people whether you need a tracker for car insurance in Pakistan and you will get three answers. One says the insurer refused cover without it, another got one fitted by the insurer, and a third never had one.
All three can be right, because insurers do not all follow the same rules. This guide separates what is required by law from what is a condition of a particular policy, and shows you where to look in your own paperwork.
Is a Car Tracker Mandatory by Law?
Short answer: the legal requirement is about insurance, not tracking. Pakistani law requires motor insurance that covers your liability to other people, usually called third-party cover. Atlas Insurance, for example, states on its own product page that motor insurance is a mandatory requirement under the Motor Vehicle Act.
We could not find any law that requires a private car owner to fit a tracker. So if you are asking “is car tracker mandatory?”, the honest answer is: not by law, but quite possibly by your insurer. Once you choose comprehensive cover, which protects your own car against theft and damage, the insurer sets its own conditions, and a tracker is often one of them.
The Comprehensive Car Insurance Tracker Requirement
There is no single comprehensive car insurance tracker requirement across the market. Each company writes its own terms, and the terms can differ between products from the same company. Here is what some insurers publish.
Jubilee General
Jubilee General’s comprehensive motor plan sold through HBL states that it is mandatory to install a tracker on certain specific vehicles, as per the terms and conditions of the policy. The page does not list which vehicles. That detail sits in the policy wording, so ask for it before you sign.
TPL Insurance
TPL sells policies both with and without a tracker. Its FAQ describes a “without Trakker” policy as one where TPL Insurance does not install a tracker. Where TPL does fit a device under the policy, the FAQ says it is not for sale to the customer and that you must contact TPL to have it removed.
Adamjee Insurance
Adamjee’s car insurance listing on PakWheels shows “Tracker at Insurance Company Cost (Optional)” as a value-added service.
Salaam Takaful
Salaam Takaful has promoted a Pay As You Drive plan that tracks and records the car’s mileage, with the monthly contribution based on the kilometres driven.
So a tracker can be compulsory, optional, bundled or built into the pricing. Brokers say the requirement usually depends on the car’s value and theft risk, with higher-value cars more likely to need one. The threshold is each insurer’s call and can change, so treat second-hand figures with care.
Does a Tracker for Car Insurance in Pakistan Lower the Premium?
Not always. Bank Alfalah’s car finance calculator lists separate insurance rates “with tracking device” and “without tracking device” for insurers including Adamjee, EFU, Jubilee General and UBL Insurers. In that table the with-tracker rate is the higher one for every insurer listed.
Whether a bundled tracker is good value depends on what its service offers compared with buying your own. Our guide to vehicle tracking prices in Pakistan explains what goes into that cost.
Choosing an Insurance Approved Tracker Company
If your policy says a tracker is required, read the wording closely before you fit anything. Some policies may accept only a device from an insurance approved tracker company, or only the one the insurer installs itself. A different brand might not satisfy the condition.
Ask the insurer or bank:
- Which trackers do you accept? Get the answer in writing, by email or on the policy schedule.
- Who installs it and when? Some policies only start theft cover once the tracker is fitted, so check the timing.
- What happens if the tracker goes offline? A lapsed subscription or a disconnected device can create problems with a theft claim.
- Who owns the device? With bundled trackers, the device may stay the insurer’s property, as TPL’s FAQ describes.
If the insurer leaves the choice to you, the usual advice for picking a provider applies. Our guide on how to choose the best vehicle tracking company in Pakistan walks through the questions to ask.
What a Tracker Does Beyond Ticking the Insurance Box
A tracker should be useful every day, not only after a theft. With Fleetile, you get:
- Live GPS tracking: see where the car is right now on the iOS or Android app.
- Trip history and playback: check where the car went and when, useful if a family member or driver uses it.
- Geofences and alerts: get notified when the car leaves an area, the ignition turns on, or it goes over a set speed.
- Remote engine cut: stop a stolen car from being driven further, explained in our post on the remote engine immobiliser.
Fleetile works with 21+ vehicle makes. Whether a particular insurer accepts it for a policy condition is something only that insurer can confirm, so check with them first. You can read more about how it works on our GPS tracker page.
How to Check Your Own Policy
The fastest way to settle the question is your own paperwork. Look at the policy schedule and the conditions section for words like “tracker”, “tracking device” or “security device”. If your car is financed, the bank arranges cover through its own panel insurers, so ask the bank as well.
If the wording is unclear, call the insurer. Rules change, and the version that applies to you is the one in your policy.
Frequently Asked Questions
Is a tracker for car insurance in Pakistan required by law?
We found no law requiring a tracker on a private car. The legal requirement is motor insurance covering third parties, while tracker conditions come from individual insurers, usually on comprehensive policies.
Does every insurer ask for a tracker on comprehensive cover?
No. Some insurers make it mandatory for certain vehicles, others offer it as an optional add-on, and some sell policies without one. Check your own policy schedule.
Will fitting my own tracker lower my premium?
It might, but it is not guaranteed. Ask your insurer before buying whether they accept your chosen device and whether it changes your rate.
What if my insurer only accepts its own tracker?
Then that tracker is the one that satisfies the policy condition. You can still fit a second tracker for your own use if you want features the bundled one does not offer.
Want to see what a tracker should actually do for you? Get a demo of Fleetile and we will show you live tracking, alerts and remote engine cut on a setup that matches your car.
