If you own a car in Singapore, you must have car insurance. It’s not just a legal requirement; it’s also a smart way to protect yourself and your car from unexpected accidents and damages.
But with so many different car insurance policies available, choosing the right one for your needs can be confusing. In this article, we’ll explain everything you need to know about car insurance in Singapore.
What is Car Insurance in Singapore?
Car insurance is a type of insurance that protects you financially in the event of an accident. If you are involved in an accident, your car insurance policy will pay for the damages to your car, as well as the damages to other people’s property and injuries to other people.
Car insurance can also help you pay for your medical expenses if you are injured in an accident.
Car insurance is important because it protects you from financial ruin in the event of an accident.
Even if you are not at fault in an accident, you could still be responsible for paying for the damages to other people’s property and injuries to other people. If you do not have car insurance, you could be forced to pay for these costs out of your own pocket, which could be very expensive.
Types of Car Insurance Policies in Singapore
There are three main types of car insurance policies in Singapore:
- Third-party only (TPO) insurance,
- Third-party, fire and theft (TPFT) insurance, and
- Comprehensive insurance.
Third-Party Only (TPO) Insurance
TPO insurance is the most basic type of car insurance in Singapore.
It only covers damage or injury caused to other people or property by your car. This means that if you get into an accident and you are at fault, your insurance company will only pay for the damage or injury suffered by the other party.
TPO insurance does not cover any damage to your own car or injuries you might sustain in an accident.
Third-Party, Fire and Theft (TPFT) Insurance
TPFT insurance covers damage or injury caused to other people or property by your car, as well as damage caused by fire or theft of your car.
This means that if your car is stolen or damaged by fire, your insurance company will pay for the repair or replacement of your car, up to the limits specified in your policy. However, TPFT insurance still does not cover damage to your own car caused by accidents.
Comprehensive Insurance
Comprehensive insurance is the most extensive type of car insurance in Singapore. It covers damage or injury caused to other people or property by your car, damage caused by fire or theft of your car, and damage to your own car caused by accidents, natural disasters, or other events.
This means that if you get into an accident and you are at fault, your insurance company will pay for the repair or replacement of your own car as well as any damage or injury suffered by the other party.
Comprehensive insurance may also cover additional benefits, such as personal accident coverage, medical expenses coverage, and windshield coverage, depending on your policy and insurer.
Comparison of the Three Types of Car Insurance Policies in Singapore
Here’s a table comparing the three types of car insurance policies in Singapore:
| Type of Insurance | Coverage | Examples of Coverage | Limitation |
|---|---|---|---|
| Third-Party Only (TPO) Insurance | Covers damage or injury caused to other people or property by your car | Damage or injury to other parties involved in an accident that you caused | Does not cover any damage to your own car or injuries you might sustain in an accident |
| Third-Party, Fire and Theft (TPFT) Insurance | Covers damage or injury caused to other people or property by your car, as well as damage caused by fire or theft of your car | Damage or injury to other parties involved in an accident that you caused, repair or replacement of your car if it’s stolen or damaged by fire | Does not cover damage to your own car caused by accidents |
| Comprehensive Insurance | Covers damage or injury caused to other people or property by your car, damage caused by fire or theft of your car, and damage to your own car caused by accidents, natural disasters, or other events | Damage or injury to other parties involved in an accident that you caused, repair or replacement of your own car, as well as any damage or injury suffered by the other party. Additional benefits may include personal accident coverage, medical expenses coverage, and windshield coverage. | Can be more expensive than other types of car insurance |
Factors Affecting Car Insurance Premiums
The cost of car insurance in Singapore varies based on several factors, including:
- The type of policy you choose (TPO, TPFT, or comprehensive).
- The make and model of your car.
- Your age, gender, and driving experience.
- Your driving record.
- The deductible.
- Additional coverage options you choose (e.g., personal accident coverage).
- Your NCD (No-Claim Discount) status.
- Certificate of Merit.
How to Choose the Right Car Insurance Policy
When choosing a car insurance policy in Singapore, it’s important to consider the level of coverage you need based on your individual circumstances and budget.
While TPO insurance is the most affordable option, it may not provide enough coverage in the event of a major accident. On the other hand, comprehensive insurance provides the most comprehensive coverage, but it can also be more expensive. Be sure to compare policies from different insurers and read the fine print to understand the terms and conditions of your policy before making a decision.
Once you have decided how much coverage you need, you need to compare different car insurance policies. You can compare policies online or by speaking to an insurance agent. When comparing policies, be sure to pay attention to the following factors:
- The cost of the policy
- The coverage limits
- The deductible
- The policy’s exclusions
- The policy’s terms and conditions
What Should You Do After a Car Accident?
If you are involved in a car accident, and you are not injured, you should:
- Keep calm.
- Stop your vehicle and activate your hazard lights.
- Assess whether you should call an ambulance (995).
- Assess whether you should call the police (999).
- Exchange particulars of the other parties involved in the accident and take note of the vehicle numbers
- Take photos of the accident scene and the damages to all vehicles.
- Call your insurer’s hotline for advice on the accident. In all cases, you MUST report the accident to the insurance company within 24 hours.
- Save a copy of any relevant dashboard camera footage, if available.
You should not move any vehicles involved in the accident before taking photographs of the scene.
How to File a Car Insurance Claim In Singapore
If you are involved in an accident, you will need to file a car insurance claim.
Do not forget to take photos of the cars involved in the accident from all perspectives (if you are not injured).
To file a claim, you will need to contact your insurance company and provide them with the following information:
- The date, time, and location of the accident.
- The names and contact information of the other drivers involved in the accident.
- The police report number, if one was filed.
- A description of the damage to your car and the other cars involved in the accident.
- Any medical bills you have incurred as a result of the accident.
Once you have provided your insurance company with this information, they will investigate the claim and determine whether or not it is covered by your policy.
If your claim is covered, your insurance company will pay for the damages to your car and the other cars involved in the accident, as well as any medical bills you have incurred.
FAQ about Car Inurance in Singapore
Here are some questions you may have about car insurance in Singapore.
Q1. Is Car Insurance Compulsory in Singapore?
A1: Yes, Third-Party Only insurance is compulsory. You cannot renew your road tax without an insurance policy.
Third-Party, Fire and Theft (TPFT) and comprehensive plans include TPO.
Q2. Does the Insurance Policy Cover Modified Cars?
A2. It depends on the modification.
If the modification is approved by LTA (Land Transport Authority), the insurance plan should cover it.
Q3. Am I Covered When I Drive the Insured Car Out of Singapore?
A3: It depends on the insurance plan.
The territorial limits of some insurance plans include Singapore, West Malaysia (VEP is required), and Peninsula Thailand, up to 80 kilometers from the border with West Malaysia.
However, some insurance companies may offer this benefit as an optional add-on.
Most insurance policies only cover “named” drivers. If you let someone else drive your car, you need to check your insurance policy.
Q4. Do I need to Report the Accident to the Police?
A4: You must report the accident to the police if any following persons or properties are involved:
- Injured person.
- Pedestrian.
- Cyclist.
- Foreign vehicle.
- Government vehicle.
- Government property.
All accidents must be reported to your insurance company within 24 hours, regardless of the police reports.
Do you understand car insurance in Singapore now?
If you have any questions about car insurance in Singapore, please let us know in the comment box below.
The community will help you.
For questions on buying a car in Singapore, please check the Singapore car ownership guides page.
For questions on driving a car in Singapore, please check Singapore driving guides page.
For maintaining and servicing your car in Singapore, please check the Singapore car maintenance guides page.
For driving from Singapore to Malaysia, please check Dring to Malaysia guides page.
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Safe driving! Happy driving!
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