No matter how much you spend on your car, when you see the cost of insurance companies, you are a little worried about how much premium you must pay. Before we get to know how much is car insurance in Singapore, it is very important to know why do you need to buy a car insurance.

1. Car Insurance is a Liability

It is mandatory to insure your car in Singapore. This is to ensure that anyone who is hurt accidentally by your car will be able to have his medical bills and losses taken care of. Any third party damage will be borne by the insurance companies.

2. Accidents are expensive

Accidents often involve damage done to third parties. Car insurance is to protect us from any unplanned liability and unforeseen event. It helps you to pay your medical bills if you get hurt by an accident.

Let’s go through some of the top benefits you get with your car insurance.

1. Good Medical Coverage

Medical coverage helps you pay your medical bills when you get hurt in your car. Many car insurance companies also pay for any death or damage to others’ property done by your car. Moreover, it covers a third party’s death or property damage – to be more precise.

However, it is important to check if personal injury is within coverage.

2. Regular Transport Allowance

Who does not want money daily? This attractive benefit is like some pocket money your car gets almost every day. If you go for a comprehensive car insurance plan, you will get a daily transport allowance that ranges between S$50 and S$80.

With this, you can take care of a few minor costs your car may demand from you.

3. Extensive 24/7-hour Road Service
4. Complimentary Car Services

But anyways, similar to how to buy travel insurance in Singapore, it is essential that you understand the costs that come with car insurance.

The Cost of Car Insurance in Singapore

Gender and age of a person are two main factors used by the insurance companies to determine car insurance premiums. These factors help the insurers to derive valuable information about your experience in driving and the likelihood of you getting into an accident.

If your chances of getting into an accident are less likely based on the above two factors, the cost incurred to the insurance company is less, and you will hence receive the cheaper quote.

Average Car Insurance Cost for Young Drivers

In general, young drivers in their 20’s bear higher insurance costs as compared to the older drivers. This is simply because young drivers are inexperienced and are exposed to a greater risk of accidents. Moreover, the insurance costs increase for young drivers due to their tendency to drive recklessly.

If you are a young and inexperienced driver, you will have to pay an excess fee on top of your standard insurance cost every time you meet with an accident. You should get this checked with your insurance company before singing up a contract with them as it is a very important thing to consider.

Average Car Insurance Cost for Experienced Drivers

Drivers within the age range 30’s and 40’s are charged with less premium rates. Whereas, on the other hand, the premium rates increase once drivers cross 50 years of age. The reason being many insurance companies consider that senior drivers are prone to higher accident risks.

However, there are many insurance companies that charge less premium costs to drivers in their 60’s. It is advisable to check tis point with your insurance company before you choose a plan for your car.

Average Car Insurance Cost by Gender   

It is noticed that female drivers always pay less for their car insurance premiums than male drivers. However, female drivers in their 50’s and 60’s pay slightly higher than the male drivers. Men pay higher premiums than women because the insurance companies consider men at greater risk due to their accident-prone tendency.

How To Find The Best Car Insurance In Singapore?

To find out which is the best car insurance in Singapore, it is very important to compare the benefits of car insurance companies before you could select your car insurance policy. Let’s go through few points (to get the key benefits out.

1. Registered Car Insurance Company
2. Type of Car Insurance
3. Additional Benefits Covered

Few car insurance companies give you some additional benefits when you sign up for a coverage policy with them. These additional benefits include party-specific needs, car servicing, on-road customer service, and medical expenditure.

To conclude, it is very important to understand the age and gender based factors to select the best premium quote. You must also look for the benefits each insurance company has to offer before you select an insurance plan for your car. Always be open about any confusion you have and get it resolved by your insurance company before you choose a policy with them.