Buying insurance is the same as saving money to cover yourself as well as your car financially, in case of an accident. The state has made it mandatory or compulsory to purchase motor insurance because no individual must suffer a financial loss or damage from an accident. Once it happens, they must be compensated fairly. To find out more about the best motor insurance in Singapore. Contact G&M today!
Types of motor insurance in Singapore
The first thing that you must keep in mind is that motor insurance in Singapore is compulsory. To have car insurance is not optional, it is mandatory. But, you need to choose which type of insurance suits your needs, wallet best, and desires. Singapore drivers can choose between three main types of insurance coverages:
- TPO or Third Party Only. It is the cheapest type of motor insurance in Singapore. But, if the abiding law is your priority, this type of motor insurance meets the basic legal requirements. The Third Party Only provides coverage for other people when you cause loss or damage. When you have caused an accident, the insurer will pay for anything needed to fix for the person whose vehicle you hit, but you need to pay your damages. Furthermore, this type of motor insurance is paid only if your fault has been proven.
- Third Party, Fire and Theft. The type of motor insurance that covers damages you caused to the other party. But, it also covers your damages. The part of “Fire and Theft” is correct, including vandalism. The option is a huge leap from Third Party Only since it covers more than can happen and provides you with coverage – not the case for TPO. But, there is a notch higher option too.
- Comprehensive. A type of motor insurance that covers the broadest option. Death or injury are covered by the other parties, medical costs from the accident, accidents, damage to properties of the other parties, fire and theft. Most Singaporeans choose this type of insurance coverage. Why? It is because of the sense of care and security, a more realistic explanation in this coverage is required by the huge majority that gives you car loans.
If your car is more than 10 years old, then you can opt for comprehensive coverage.
Which insurance should you get? It is up to you which one you think fits you. If you opt of spending a bit more money from any of the options, more coverage can be obtained.