If you use BottomNavigationView within CoordinatorLayout, you will realize BottomNavigationView will overlap or cover part of the content layout at the bottom.
My prefered solution at the moment is using a RelativeLayout to wrap around CoordinatorLayout (compared to using CoordinatorLayout as root), based on proposal by chet.
<RelativeLayout xmlns:android="http://schemas.android.com/apk/res/android"
    xmlns:app="http://schemas.android.com/apk/res-auto"
    xmlns:tools="http://schemas.android.com/tools"
    android:layout_width="match_parent"
    android:layout_height="match_parent"
    android:fitsSystemWindows="true"
    tools:context=".MainActivity">
    <android.support.design.widget.CoordinatorLayout
        android:id="@+id/container"
        android:layout_width="match_parent"
        android:layout_height="match_parent"
        android:fitsSystemWindows="true"
        android:layout_above="@+id/navigation">
        <android.support.design.widget.AppBarLayout
            android:layout_width="match_parent"
            android:layout_height="wrap_content"
            android:theme="@style/AppTheme.AppBarOverlay">
            <!-- Use this to hide appbar on scroll - app:layout_scrollFlags="scroll|enterAlways" -->
            <android.support.v7.widget.Toolbar
                android:id="@+id/toolbar"
                android:layout_width="match_parent"
                android:layout_height="?attr/actionBarSize"
                android:background="?attr/colorPrimary"
                app:popupTheme="@style/AppTheme.PopupOverlay" />
        </android.support.design.widget.AppBarLayout>
        <!-- this could be a RecyclerView or NestedScrollView -->
        <FrameLayout
            android:id="@+id/content"
            android:layout_width="match_parent"
            android:layout_height="match_parent"
            app:layout_behavior="@string/appbar_scrolling_view_behavior"
            >
        </FrameLayout>
        <android.support.design.widget.FloatingActionButton
            android:id="@+id/fab"
            android:layout_width="wrap_content"
            android:layout_height="wrap_content"
            android:layout_gravity="bottom|end"
            android:layout_margin="@dimen/fab_margin"
            app:tint="@android:color/white"
            app:srcCompat="@drawable/ic_photo_camera_black_24dp" />
    </android.support.design.widget.CoordinatorLayout>
    <android.support.design.widget.BottomNavigationView
        android:id="@+id/navigation"
        android:layout_width="match_parent"
        android:layout_height="wrap_content"
        android:layout_alignParentBottom="true"
        android:background="?android:attr/windowBackground"
        app:menu="@menu/navigation"
         />
</RelativeLayout>Some suggested putting android:layout_marginBottom="56dp" (height of BottomNavigationView is 56dp) to content layout/recyclerview, but this assumption might not always stay true. Alternatively, we can get BottomNavigationView at runtime and adjust it accordingly.
Some suggested using app:layout_dodgeInsetEdges in content layout and app:layout_insetEdge in BottomNavigationView, but this solution cases the top portion of content overlapped by AppBarLayout (probably conflict with app:layout_behavior="@string/appbar_scrolling_view_behavior").
Some suggested putting BottomNavigationView and RecylerView in content layout (which implement app:layout_behavior="@string/appbar_scrolling_view_behavior") to avoid overlapping. The side effected is when Toolbar implement app:layout_scrollFlags="scroll|enterAlways", it will cause BottomNavigationView to be hidden when scroll down.