In terms of the traffic laws, All motorised vehicles driven in Vietnam are required to be insured. Having a civil liability insurance policy (bao hiem trach nhiem dan su) is compulsory and complies with the requirements of the law and normally all commercial insurance companies can provide you such a civil liability insurance upon request easily and this service might cost roughly US$ 5 for a bike and US$ 20 for a small car.

Uninsured drivers may be fined and are at risk of having their vehicles confiscated. In short, all vehicles must have civil liability insurance before making a legal registration with the local authorities to get vehicles engaged in the public traffic otherwise those vehicles would be considered to be illegal ones and confiscated by police in any case.
The process of insuring a vehicle is the same for Vietnamese and foreign residents. To obtain insurance, applicants need to present their personal identification and valid documents required for the vehicle to be insured, such as their passport, visa or identity card. Many insurance companies have English-speaking staff available to assist foreigners with selecting the best policy for their needs.

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