Which Insurance Cover Suits Your Needs

You probably wouldn’t need it for 364 days but on that one day when everything’s gone wrong, you’ll be glad to have it. SIX-SIX.COM gives you some tips on motor insurance.

Buying a new set of wheels is always an exciting endeavour. While choosing the best insurance coverage for your new car isn’t as exciting as actually driving it, it’s still a crucial step before even getting the engine started. Like most countries in the world, it is mandatory in Singapore.

There are three types of automotive insurance coverage in Singapore. And we’ll help you navigate through them. The quotes were from the AXA website, based on a nine-year-old Kia Picanto for a 32-year-old male driver with 10 years’ driving experience. As a first time car owner, he would not be entitled to any No Claim Bonus (NCB*). An excess** applies for Comprehensive coverage.


As the name implies, this type of automotive insurance gives the policyholder the most complete coverage possible against all eventualities. That also explains why it’s also the most costly. It goes as far as to cover ‘Acts of God’ like natural floods or something as unexpected as a tree falling on your car. 

$1,647.63 ($1,200 excess)

$1,750.57 ($700 excess)

$1,935.95 (excess waived)

Third Party Fire & Theft (TPFT)

Though more affordable compared to Comprehensive, TPFT also covers a lot less in comparison. And as the name implies, it provides coverage for when your car is stolen or if it’s damaged by fire. But it goes further to provide coverage for any damage to property or injury you cause to the other party in an accident. This means any damage to yourself or your car will be borne by you alone. 


Third Party Only

While it’s the cheapest among the three offered here in Singapore, it also provides the least amount of coverage. Covering only injury and property damage to the other party. 


Other factors that affect your insurance premium

The Singapore Police Force’s Traffic Police division issues a Certificate of Merit (CoM) to drivers who have not committed a traffic offense for three consecutive years. The CoM entitles you to a further 5% discount off your car insurance premium. 

*No Claim Bonus (NCB) is the amount of percentage discount you get off your insurance premium. The insurance company adds an additional 10% discount to your premium for every year without an accident claim up to a maximum of 50%. A new driver would start off with 0% but on his sixth year of renewal, he would receive 50% off his premium. Instead of paying $1,500 for his premium, he would only pay $750.  

**Excess is the amount of cash the insured would have to pay before the insurance company will pay out for repairs.

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