Cheapest Car Insurance in Singapore: 7 Plans To Purchase

Finding the cheapest car insurance plans in Singapore? Here are seven plans that provide comprehensive coverage at affordable premiums.

Auto insurance is mandatory in Singapore. It’s a good thing, then, that there’s a slew of different providers offering plenty of choices for drivers to choose from. 

Just like with other types of insurance, there’s always the danger of buying more insurance than you need. This means you’ll simply be wasting your money on needlessly expensive premiums.

To help you cover your car insurance needs and avoid high premiums (because I mean, how expensive are cars nowadays?), we’ve put together a list of seven of the most affordable car insurance policies with comprehensive coverage that should suit the needs of most drivers. 

Table of contents:

• 7 cheap car insurance plans in the market
  
  • Benefits covering vehicle
  • Benefits covering driver
• Allianz Motor Protect (Comprehensive) 
• Singlife Car Insurance (Prestige) 
• Tiq Private Car Insurance (Comprehensive)
• NTUC Drivo (Premium)
• MSIG (MotorMax Plus)
• HLAS Car Insurance (Comprehensive)
• FWD Car Insurance (Comprehensive)
• FAQs
• Conclusion

At-a-glance: 7 cheap car insurance plans in the market

Benefits covering vehicle

* Comparison profile: 43 years old, single, male driver of Suzuki Swift 1.5A registered in 2018, two years’ driving experience with clean driving record, NCD 20% and selected excess S$600, going for comprehensive coverage. The Annual Premiums are rounded up to the nearest dollar.

Benefits covering driver

* Comparison profile: 43 years old, single, male driver of Suzuki Swift 1.5A registered in 2018, two years’ driving experience with clean driving record, NCD 20% and selected excess S$600, going for comprehensive coverage. The Annual Premiums are rounded up to the nearest dollar.

Allianz Motor Protect (Comprehensive) — covers the needs of the average driver

Allianz Motor Protect shines as the provider with the lowest premium for private car insurance among the seven.  

Designed for those who want an adequate car insurance plan that’s ‘just enough’, Allianz Motor Protect goes for a stripped-down approach, focusing on covering the most common scenarios that average drivers are likely to encounter. That said, you’ll have to pay extra for NCD protector. 

The Comprehensive plan is, of course, the most holistic Allianz Motor Protect plan there is though it is important to note that additional premium applies to optional cover for personal accident and medical expenses and choice of repair workshop, too. 

A benefit that’s rarely seen but worth mentioning is the no-additional-premium, Agreed Value Payout at Total Loss benefit exclusive to the Comprehensive plan. This benefit pays you the value agreed at the start of the policy year, in the event of total loss of your car. In short, it helps preserve the value of your car against monthly depreciation! You can read more about it in our Allianz Motor Protect car insurance review here. 

This low-cost car insurance is ideal for drivers who want adequate coverage without having to pay for extra perks that may only be situationally useful. The flexibility afforded in designing their own preferred coverage is a prized one amongst drivers. 

Singlife Car Insurance (Prestige) - most affordable overall, 10% NCD deduction, waiver of excess

Singlife Car Insurance stands out as the provider with the second-lowest premium for private car insurance among the seven. 

This usually means a corresponding reduction in coverage and benefits, but we were surprised to find this wasn’t the case. 

What makes Singlife Car Insurance (Prestige) so attractive is the waiver of excess for windshield repairs (normally S$100) and for young and inexperienced drivers (S$2,500 to S$3,000) - this already provides instant potential savings in case of an accident. 

Additionally, whereas other insurers deduct up to 30% of your NCD for ‘at-fault’ claims, Singlife deducts just 10%. Don’t underestimate the effect of this difference - by imposing a less harsh deduction, you not only save money, but will also find it easier to get back to the maximum 50% discount.  

Another notable advantage is the 24-month eligibility period for getting a brand-new replacement for your car. Other insurers limit this to just 12 months.

Tiq Private Car Insurance (Comprehensive) - has adjustable excess for further savings

Looking for cheap car insurance? Etiqa Private Car Insurance ( Comprehensive) ranks as our cheapest in the list. 

What makes this plan attractive is that you can choose your own level of excess for any ‘at fault’ claims. Choosing a higher excess will lower your premiums, helping you save more money. 

However, if you do get into an accident and are found to be at fault, you’ll need to cough up the higher excess. Hence, be sure to hedge your risk by choosing an excess level you can comfortably afford. 

Further savings offered by this plan comes in the form of the vulnerable driver excess, which is set at S$2,000 (compared to S$2,500 or more for other insurers). 

While this lower excess presents potential savings, do note that the definition is broader than most - it also includes elderly drivers, in addition to the conventional young and inexperienced classifications. 

If you don't drive regularly, you could consider Etiqa's Drive Less Save More add-on as it could potentially help you save up to 30% in cash rebates yearly. To enjoy these rebates, simply upload a photo of your odometer and vehicle number, and upload them to Tiq by Etiqa app. However, do note that this add-on is only valid for new businesses. 

NTUC Drivo (Premium) - affordable and comprehensive plan with free NCD protection

NTUC Drivo is among the most popular auto insurance plans among Singaporeans, thanks to its combination of comprehensive coverage, competitive benefits and affordable premiums. 

What you’ll get is a well-rounded plan which should cover most of your needs, at low- to mid-range premiums.

Sticking with NTUC will also net you some more savings down the road. If you maintain at least two consecutive years of 50% NCD, you’ll automatically be entitled to free NCD protector on your next renewal. 

This means you will no longer need to pay for the NCD protector rider, helping you pare down your premiums even more. 

As a bonus, policyholders also gain the services of the vaunted Orange Force, NTUC’s own in-house fleet of highway emergency assistance specialists. 

No matter how hardened a driver you are, having the ability to call for on-site help should you get into an accident is surely a comforting prospect. 

MSIG (MotorMax Plus) - high personal accident, loan protection coverage

MSIG MotorMax Plus isn’t the cheapest auto insurance plan, ranking fifth on our list. 

However, it’s not very much more expensive than its peers, but offers amongst the highest benefits for personal accident, loan protection and damages. 

The policyholder will gain S$100,000 coverage for personal accidents, while any authorised drivers and passengers are covered for S$50,000. 

There is also a loan protection benefit of up to S$100,000, which is useful for paying off any remaining car loans should you become unable to do so. 

And if your insured vehicle is less than 12 months old, you are also entitled to a new-for-old replacement of up to S$100,000 in case of extensive car damage.

Having these benefits can allow you to cover crucial gaps in your finances. 

HLAS Car Insurance (Comprehensive) -  adjustable premiums, flexible workshop choice

Unlike most other car insurance plans, HLAS Car Insurance doesn’t try to lock you into using only authorised workshops for repairs and maintenance.

Instead, you have complete freedom to choose any workshop you want, but you can get a 50% discount on your applicable excess, should you choose an authorised workshop. 

Combine this with the freedom to set the excess you want for claims, and you have a car insurance policy that can help you save money when it matters. 

You can save on your premiums by setting a higher excess. Then, when the need arises, send your car for repairs at an authorised workshop to pay only half of your excess. That’s a win-win for you.

FWD Car Insurance (Comprehensive) - high legal costs benefits, high one-time payout for surviving children

FWD emerged as the most costly auto insurance plan in our ranking, but that doesn't mean it’s not worthy of your money. 

First off, it’s important to note that premiums for this plan is only S$164 more expensive than the next closest competitor - which works out to barely S$14 per month. 

Crucially, the plan provides coverage for all the essentials, with competitive benefit levels that can comfortably match up to its peers. 

And it even outshines them at times. Take for example the high legal cost coverage of up to S$3,000 in case of third-party claims - this is the second highest for the benefit on the list. 

Also, FWD offers a one-time payout of S$250,000 for surviving children if both parents die or are permanently disabled in a car accident. No other plan on our list offers a similar benefit.   

Under FWD's Executive or Prestige plan, there is a benefit to provide a courtesy car if any of the following events occur: If your car is damaged beyond repair or permanently lost (courtesy car provided for up to three months), and if your car is damaged in an accident (courtesy car provided until the repair is complete).

Frequently Asked Questions (FAQs)

Q: What are the types of car insurance plans?

There are 3 different types of car insurance offered in Singapore depending on how much coverage you want for your car: Third Party Only (TPO), Third Party, Fire and Theft (TPFT), and Comprehensive plans. 

#2: How can I lower my car insurance premiums?

No-claim discounts (NCD) — You can increase your NCD by not making a claim if you don't have to, especially for minor accidents or in accidents when it's not your fault. You can also consider purchasing an NCD Protector (if your insurer offers) that protects your NCD even after making a claim.

Avoid adding unnecessary unnamed drivers — If you got a child (usually below 30 years old) who've just got their driver's license, adding them as a named driver to your car insurance might increase your premiums. You can also consider purchasing a plan that covers for all drivers instead of just named drivers.

Purchase an older car — Older cars usually incur lower premiums than newer cars, sometimes up to 30% lower.

Driver profile — Driver profile makes a difference in lowering your car insurance premiums, with factors like age, gender, years of driving experience, and number of claims made. While it is difficult to change your driving profile, this is information that's good to know.

Q: How should I compare car insurance plans?

Coverage — there are 3 different types of car insurance offered in Singapore depending on how much coverage you want for your car: Third Party Only (TPO), Third Party, Fire and Theft (TPFT), and Comprehensive plans. Find a plan that is able to meet your coverage needs and budget.

Premiums — the premiums are affected by your driver profile, driving experience, make and model of your car, claim history, excess and coverage amount. Do ensure you shop around to find the lowest premiums!

Excess — check how much excess you'll need to pay out-of-pocket in the event of an accident. Ensure it's an amount your comfortable with paying!

Q: Is a comprehensive car insurance plan worth it?

It is advisable to purchase a comprehensive car insurance plan for the ultimate peace of mind, knowing that you're covered in all situations like your liability for damage or injury/death caused to others and their property, damage to your car due to fire, theft, storms, floods and by accidents to your car.

However, it might not be the best for everyone because of varying needs like budget constraints or the fact that the car will be scrapped soon.

It ultimately depends on what kind of car insurance plan will be able to meet your needs.

Q: Which car insurance is the best?

There is no one-size-fits-all car insurance plan, as every driver has their own needs in terms of coverage preference and budget they're willing to pay. It's always best to look around for the plan that is best tailored to your needs, and one that offers affordable premiums.

Q: How do I renew my car insurance?

Renewing your car insurance in Singapore is a simple process. Here are the steps you need to take: 

1. Gather Documents
Gather the documents required by your insurance policy provider. These documents may include your vehicle registration details, driver's licence, and other relevant documents. 

2. Obtain a Car Insurance Renewal Quotation
Contact your insurance provider to obtain a car insurance renewal quotation. The insurer will then provide you with a renewal quotation based on your current policy and payment history. 

3. Compare Quotes
Compare the different car insurance renewal quotations from multiple providers and select the best one for you. 

4. Payment
Make the payment for your car insurance renewal. Depending on the policy, you may be able to pay using cash, cheque, or credit card. 

5. Processing Time
Once the payment is made, your car insurance renewal will be processed and the policy will be updated. 

6. Completion
Your car insurance policy documents will be sent to you via email or post. 

With these steps, you can easily renew your car insurance in Singapore and keep your vehicle protected.

Conclusion

While opting for the cheapest car insurance policy might a priority for many, that shouldn't always be the most important factor when considering car insurance.

You should always get a plan that fits your needs in terms of coverage, and choose one with an excess amount that you're comfortable paying for, in the unfortunate case of an accident.

Ultimately, it depends on you to weigh your options and strike a balance between budget and coverage because at the end of the day, you won't want to purchase a cheap car insurance only to find out that you're not covered sufficiently when you try to make a claim.

Shop around for the best car insurance plans on SingSaver!

Protected up to specified limits by SDIC.

Note: This is only product information provided. You may wish to seek advice from a qualified adviser before buying the product. If you choose not to seek advice from a qualified adviser, you should consider whether the product is suitable for you. Buying an insurance product that is not suitable for you may impact your ability to finance your car ownership needs.

If you decide that the policy is not suitable after purchasing the policy, you may terminate the policy in accordance with the free-look provision, if any, and the insurer may recover from you any expense incurred by the insurer in underwriting the policy.