Car insurance Singapore types explained in simple terms

As a car owner you would have known by now that having a car insurance is mandatory in Singapore. Anyone who does not have an insurance or fail to renew their insurance would be punished. The punishment can include fines of up to $ 1,000 and an imprisonment of up to 3 months. While some may get away with fines there are instances when you can be imprisoned too. So, it is important to ensure that your car has an insurance at all times. You should also ensure that you renew it well within the expiry of the insurance too.

There are thee type of car insurance types that are available for motorists in Singapore. These can be classified as follows:

  • Comprehensive cover
  • Third party, theft, and fire
  • Third party cover (TPO) or Third party only

Each of these insurances would carry an annual premium that has to be paid by the owner of the vehicle. We look at how each of the car insurance Singapore types work and which one you should choose.

Comprehensive cover

As the name goes this is said to be one of the biggest coverages that you can get from an insurance company. This coverage literally covers all losses pertaining to a car accident. This would mean death, injury to others, medical bills, property damage of others, fire, accidents, and theft.

This type of car insurance is also said to be commonly chosen by car owners since it offers them a full cover. Although it is the preferred option you would need to take up this insurance type if you are taking up a car loan with any bank. However, in case your car is older than 10 years you would not be able to opt for this type of insurance.

Third party cover, theft, and fire

With this car insurance type, you have cover for your car in terms of theft and fire. You would also get a cover for the damage that was caused due to the accident the vehicle was in. Vandalism is also covered with this insurance type and it is a cut above the TPO type.

Third party cover (TPO) or Third party only

This type of car insurance is by far the cheapest option when it comes the three available options. People who wish to just have an insurance because the law requires them to take up this type of insurance. It meets all the basic legal requirements by the law for you to have a car insurance Singapore.

You basically would not get anything from the insurance provider in case you are involved in an accident. However, the other car and the damages that you have caused would be covered by the insurance company. Moreover, this payment is only done to the other person upon your fault being proved.


Now, you have a comprehensive idea on the three different types of car insurance Singapore that you can potentially sign up for. Always be advised that you can opt for more when you pay more with any of the above-mentioned insurance types. By talking to the insurance company you would get to know the other covers they can offer you and the prices associated with the same.

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