FWD Car Insurance Review (2023): A Plan with Lifetime NCD Guarantee

FWD Car Insurance covers the essential basics while bundling in quality-of-life features. Here’s why this auto insurance policy may be ideal for you. 

Auto insurers encourage safe driving by dangling a No Claims Discount (NCD) that can slash your premiums by as much as 50%. To qualify, you must have an accident-free record for at least five years. However, it takes just one accident to lose a large chunk of your NCD, if not completely. 

Thus, maintaining your NCD is out of your control given that accidents are unpredictable (that’s why they’re called ‘accidents’!).

Luckily, FWD Car Insurance offers a lifetime NCD guarantee, which essentially prevents you from losing your premium discounts no matter how many accidents you get into, as long as you remain an active policyholder.

Are the potential premium savings worth the ongoing commitment?

SingSaver reviews FWD Car Insurance, revealing its pros and cons, key features, exclusions, and more.

Pros and cons of FWD Car Insurance

Key features of FWD Car Insurance

#1: Lifetime No Claims Discount

If you renew your FWD Car Insurance policy and have a 50% No Claim Discount (NCD) at the time of enrolment, you are automatically eligible for the Lifetime No Claims Discount benefit. 

This benefit preserves your NCD at 50% regardless of how many ‘at fault’ claims made against you. The caveat is that you must remain insured with FWD and hold a valid Singaporean driver’s licence.  

This is the most attractive feature of FWD Car Insurance because it allows you to enjoy maximum savings regardless of accidents.

#2: Covers road trips in West Malaysia (and parts of Thailand) 

FWD Car Insurance offers a rather generous geographical cover, extending all across West Malaysia and parts of southern Thailand. 

As such, you and your vehicle will be protected in these areas. You can opt to have road trips up north without a separate motor insurance policy. However, make sure the total coverage offered is sufficient for your trip, and purchase any add-ons deemed necessary. 

You may opt to include the following as part of the overseas booster: 

• Additional S$500 for towing (in case you want your vehicle towed all the way back to SIngapore) 
• Additional repatriation benefit
• Additional emergency medical expenses to send you back to Singapore   

#3: Automatic insurance for trusted drivers

The Executive and Prestige plans offer automatic coverage for drivers you trust without including their names in the policy beforehand. You may also add this as a rider under the Classic plan.  

In comparison, some policies may require you to name all the people expected to drive your car, otherwise you’d have to pay a hefty excess, or face a completely void claim. This inclusion goes beyond mere convenience – it potentially saves you from a financial bind. 

#4: Offers a 12-month instalment payment 

You may opt to have a 12-month instalment plan instead of paying your car insurance policy in one go. This payment plan is offered on an interest-free basis if you have an OCBC MasterCard or VISA credit card and your premium being more than $500, which is quite helpful for those in need for an auto insurance renewal with low funds.  

#5: Offers a courtesy car under extensive conditions (for Executive & Prestige Plans)

The FWD Car Insurance Executive and Prestige recently enhanced their courtesy car benefit. Previously, they would provide a courtesy car for up to three consecutive months if the car is damaged beyond repair or permanently lost, which is still included in both plans today. 

But in addition to this benefit, they now offer a courtesy car if your car gets damaged in an accident for as long as its repair is completed. 

Important exclusions to note

Take note of these exclusions if you’re considering FWD Car Insurance. This policy does not cover the following: 

• Depreciation (including effects from accidents), wear and tear, mechanical, electrical and/or structural breakdowns
• Tyre/rim damage unless other car parts were also damaged by an accident covered by this policy
• Claims if you or another driver does not have a valid driving licence, drives under suspension, or drives under the influence of drugs/alcohol
• Any losses caused by damage to your car’s software or loss of software data 
• Any losses caused by failure to take necessary precautions to protect property, and minimise claims under this policy, such as failing to follow manufacturer's recall

For the full list of exclusions and other important information, read the FWD policy booklet.

How can you benefit from FWD Car Insurance? 

FWD Car Insurance offers numerous options and customisations, but at the same time, it doesn’t go overboard with excessively high benefits. Premiums are available across a wide budget range.

The Comprehensive Plan offers coverage for all the basics. The inclusion of a less-robust Classic tier gives more freedom for those who don’t want or need other benefits such as courtesy cars. 

Furthermore, you can opt for a higher excess in exchange for lower premiums, enabling you to have more budget control. Although, do should consider whether you can bear this decision’s financial impact in case of an accident.

Meanwhile, the Third Party Only, and Third Party, Fire and Theft plans are direct offshoots of the Comprehensive plan, which means you won’t find any additional or new benefits with these.

Plan tiers, premiums, and latest promotions

What are FWD Car Insurance’s plan tiers?

Below is a summary of FWD Car Insurance’s benefits from the Comprehensive option available in three tiers: Classic, Executive, Prestige.

You may also purchase policies that cover Third Party Only, or Third Party, Fire and Theft, if you do not require the full scope of coverage offered under Comprehensive.

For the complete plan details, please refer to the FWD’s policy documents.

How much does FWD Car Insurance cost?

The premiums above are generated for a single male driver in his mid-40’s driving a one-year-old Audi A3 Mild Hybrid with 50% No Claims Discount and no demerit points. 

You may have noticed that yearly premiums are quite high, despite the relatively safe profile of the driver. The likely reasons for these are:

• The car used as an example is quite pricey, costing over S$200,000 at the time of writing
• Hybrid cars may be more costly to insure 
• NCD Protector is automatically included due to the driver having a 50% NCD, which might increase the cost a little 

Moreover, note that these premiums are for the three plan tiers available under the Comprehensive option, which is designed to have the widest scope of coverage offered. 

Again, those with a narrow range of needs may consider the Third Party Only, or Third Party, Fire and Theft, versions of this policy instead. 

FWD Car Insurance promos

The following promotions may help you decide whether to sign up with FWD Car Insurance or not:

• Inherit No-Claims-Discount of up to 50%, if eligible
• Gain 5% discount if you are demerit point-free