Motor insurance in Singapore is mandatory for all vehicle owners, and you will need to purchase a motor insurance policy in order to have the vehicle transferred to your name or to renew your road tax.
The need for compulsory motor insurance is to indemnify you against any third party liabilities and minimise financial losses in the occurrence of a road accident. Depending on your policy coverage, your insurer will pay for the damages to the vehicles involved, damaged public property, and the medical costs of third parties involved in the accident.
It is also important to note that some basic comprehensive motor insurance policies do not cover personal injuries to the driver. Such coverage may be offered as an add-on benefit.
Private Vehicle
For normal private and
social vehicle usage
Commercial Vehicle
Typically for business usage
(van, lorry, truck, etc.)
Private Hire Vehicle
For ride hailing platforms
such as Grab and Gojek
Motorcycle
All classes of motorcycles.
Including motorcycles for
food delivery services
Deciding on the extent of coverage required for your motor insurance will require you to take the following into consideration:
– What will be the usage of the vehicle?
– Who might be the potential drivers of the vehicle?
– Is your existing coverage for medical costs and personal accidents sufficient? What about that of the other drivers of the vehicle?
Whether you are getting insurance for a personal vehicle, family vehicle, or a commercial vehicle, speak to us today for professional advice on the policy most suitable for your needs.
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Policy Comparison and Unbiased Advice
Policy Comparison and Unbiased Advice
In Singapore, all vehicle owners will need to purchase a motor insurance policy to have the vehicle transferred to their name or renew their road tax. This is to indemnify you against any third-party liabilities and minimise financial losses in the occurrence of a road accident. Depending on your policy coverage, your insurer will pay for the damages to the vehicles involved, damaged public property, and the medical costs of third parties involved in the accident.
Speak to us to learn more about how we can better help you by comparing car insurance quotes and provide a tailored approach towards your needs.
Third Party Only (TPO)
A TPO policy offers the least coverage and is also the cheapest option. It offers you protection in situations where you are held responsible for an accident, either third party property damages or third-party bodily injuries. These third-party liabilities include damages to any property involved during the accident – including vehicles, trees, or even lamp posts, as well as medical/ hospitalisation expenses or other injuries sustained during the accident. This includes loss of wages and loss of use.
Third Party, Fire and Theft (TPFT)
This provides slightly more coverage as compared to TPO policies. Besides the third-party liabilities mentioned under TPO coverage, it covers your vehicle for events such as Fire or Theft. If you are a frequent driver who drives outside of Singapore, it is strongly advised that you purchase a TPFT cover as theft frequencies are higher.
Comprehensive
This is the most superior form of coverage and also the most common. It not only covers the areas mentioned under TPO and TPFT policies, but also offers protection to the car itself. Coverage includes damages to the car body, windscreen and convertible soft top cover too. Besides the policy excess which you have to bear, a comprehensive policy will pay no more than the Market Value of the damages at the time of loss or of damage.
If the car is under financing, ie. a bank loan, the bank will usually enforce that comprehensive insurance is purchased for the vehicle. This is because the bank needs to protect their assets, which in this case is the car, which they still have ownership over until the loan is fully paid.
The high cost of cars in Singapore means that a large proportion of cars are on bank loans, making comprehensive policies the most common form of car insurance in Singapore.
Third Party Only (TPO)
- Death or injuries to other parties
- Repairs/replacement to other parties’ properties
Third Party, Fire and Theft (TPFT)
- Death or injuries to other parties
- Repairs/replacement to other parties’ properties
- Fire or theft losses to your vehicle
Comprehensive
- Death or injuries to other parties
- Repairs/replacement to other parties’ properties
- Fire or Theft losses to your vehicle
- Accidental Damage to your vehicle
The best car insurance for you would depend on several factors, such as:
- What is the typical usage of the vehicle?
- Who are the potential drivers of the vehicle?
- Is your existing coverage for medical costs and personal accidents sufficient? What about that of the other drivers of the vehicle?
As such, the best car insurance differs from driver to driver.
Speak to one of our brokers for a free car insurance quote, compare car quotes and unbiased advice, so that you can better decide on the most suitable coverage and car insurance plan for yourself.
The cheapest car insurance option is the Third Party Only (TPO) option. As compared to other car insurance options, TPO offers basic coverage. Whether or not it is sufficient would differ from driver to driver as it would depend on the factors listed above.
Cheap car insurance may be suitable for some drivers and vehicles, but not others.
To compare car insurance in Singapore or to understand more about the car insurance price in Singapore, contact us today.
Yes, you can reduce your car insurance premiums by taking advantage of promotions. From time to time, insurance companies may have car insurance promotions where they offer discounts of up to 30%. You can be assured that our brokers will inform you should there be an ongoing promotion, so contact us today to save on your car insurance premiums!
Some insurers may also have a No Claims Discount (NCD) policy which gives policyholders like you a discount on your premium if no claim has been made under your policy for a year or more with your insurer. In other words, the less you claim, the more likely your car insurance premiums for the following year will be reduced.
No. Car and motor insurance can cover:
- Private vehicle – for normal private and social vehicle usage
- Commercial vehicle – typically used for businesses (includes vans, lorries, trucks, etc.)
- Private hire vehicle – under ride-hailing platforms like Grab and Gojek
- Motorcycle of all classes, including for food delivery services