Save On Car Insurance
Singapore is one of the most expensive places in the world to own a car. This is why it is extremely important to take out car insurance to protect your prized possession. While it is mandatory in Singapore to get car insurance, there are many types of coverage you can choose from depending on your needs and budget.
You may find that an auto insurer can quote you and your friend a different price, even if you had asked for a quote on the same day. Why? This is because different insurers have different risk assessment policies and may favour a certain driver’s profile depending on age, gender and experience.
Generally, the following risk factors are considered when setting your car insurance premium:
- Model of vehicle
- Engine capacity
- Age of vehicle
- Age, gender and occupation of drivers
- Driving experience
- Claims history of drivers
- Type of coverage
- demerit points on your license
- Off-peak discount
However, there are also other ways for you to get a lower premium. Below, we’ve listed 5 ways for you to save on your car insurance premiums:
1. Drive safe to maintain a no-claims record
Other than for your own safety, there’s an incentive drive safe on the road as well. If you have no previous claims record, you get to get a substantial amount of discount on your car insurance premiums. These are known as no-claim discounts.
Most insurers offer a No-Claim Discount (NCD) of 10% off your premium for every year you drive accident-free. This can add up to a maximum of 50% off your insurance premium if you’re accident-free for 5 years, making it one of the best ways to save on your car insurance. Some insurers also offer an NCD protector that protects your NCD in the event that you get into an accident, although this comes at a fee.
You’d be glad to know that NCD is transferable between auto-insurers, which means you can safely switch insurers when you want without affecting your no-claim record.
2. Maintain a Clean record on your License
Other than having a no-claims record, you will be additionally rewarded if you don’t even make a traffic offence. This means no speeding ticket or any type of traffic offence at all. If you drive for consecutive 3 years without committing a traffic offence, you can request for a Certificate of Merit (COM) from the Singapore Traffic Police, which will save you an additional 5% on your policy premium on top of any NCD you’re already getting.
3. Install in-car camera
It is pretty common to see cars and motorcyclist installing cameras in their vehicle in order to capture any accidents that may happen. This not only helps them with a potential insurance claim but can reduce the auto insurance premiums as well!
4. Flexi-car insurance
If you do not use your car regularly or have an off-peak car, try to look for car insurance that offers you discounts on these conditions. For instance, there are some car insurance can offer up to 35% premium discounts if you clock less than a certain amount of mileage in a year. Such discounts will also be on top of any applicable no-claim discount. One of the best insurance providers offering flexible-car insurance is NTUC Car Insurance, with savings of over 70%.
5. Restricted Drivers Discount
If you are above age 30, below age 70 or have more than two years of driving experience, insurers can offer up to 15% off the premium. If not, you can consider adding a more experienced driver to your policy to enjoy the discount.
If you are in the market for the best car insurance, then make sure to check out our car insurance comparison engine, designed to help you make an informed comparison.