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Updated on June 16, 2021

At the accident scene & accident reporting

Q: Do I still have to report an accident if I have no intention of making any claim or my vehicle is not damaged?

A: In the event of any accident involving the motor vehicle, irrespective of whether it would give rise to an claim, the insured must report the accident, loss or damage to the reporting centre within 24 hours of the accident or by the next working day thereof, your No Claim Discount will be penalise if you do not do so within 24 hours. If no claim is submitted against you, your report will not affect your No Claim Discount.

Q: Why is it important to make an accident report?

A: The accident report will provide the insurer with the necessary information to handle all claims made against you for the accident. Otherwise, you may have to handle and settle any claims on your own.

Private settlement

Q: Under what circumstances should I opt for private settlement?

A: You may wish to go for private settlement in situations where there is no or minor damages (e.g. repair cost less than a few hundred dollars) to your vehicle.

Q: What do I need to take note of when I opt for a private settlement?

A: Download any applicable private settlement form from your insurer. Ensure that the private settlement form is duly completed and signed by both parties. If cash payment is involved, the recipient has to acknowledge receipt of the amount. You will then need to submit this form to your insurer.

Q: What is a private settlement?

A: Is a resolution of the accident between the motorists without involving the insurers. The settlement could be one party paying the other or both parties agreeing not to claim from each other.

Q: What is the benefit of private settlement?

A: You can maintain a clean claim record by opting for a private settlement. This would mean that you can continue to enjoy your current NCD and standard premium on your policy renewal.

Claim under own policy

Q: What are my claim options if I am not at fault for the accident?

A: You can either:

  1. Claim from the party who is liable for the accident directly; or
  2. Claim under your own policy provided you have a comprehensive motor insurance coverage.

Q: Why do I have to claim under my policy if I am not at fault for the accident?

A: The other party may make the report in his favour. As such, you may not receive the full compensation for your claim.

Q: What happens if the repair cost is less than the Total Excess?

A: For such cases, you will not be able to receive any claim pay out under your policy.

No Claim Discount (NCD)

Q: What is NCD?

A: NCD is a vital part of your car Insurance. The amount of your insurance premium payable or saving is dependent on your NCD entitlement. NCD is extended to you when you do not make any claim toward your insurance during the in force period.

Q: If I am not at fault and make an own damage claim, will my NCD be affected?

A: Your NCD will not be affected if the insurer can recover the claim amount from the other party. However, if the claim recovery is not successful, your NCD will be affected.

Q: What happens if I have more than one accident in a year?

A: NCD will be reduced to 0%.

Q: What will cause my NCD to be affected?

A: Your NCD will be affected when a third party makes a claim against you or when you make a claim and the insurer is unable to recover the claim cost from any party.

Making a claim against a third party

Q: Can I revert to claim under my policy if the Third Party claim against the other insurer is unsuccessful?

A: You are strongly encouraged to claim under your own policy if you think that the claim will be conflicted. Once the claim is settled, the insurer will recover the claim on your behalf from the party liable for the accident. You may breach the insurer’s policy condition if you proceed to attempt the Third Party claim first. As a result, Insurers are unable to allow you to revert to claim under your policy.

Q: What is some important information which I need to know if I wish to claim against the third party?

A: The onus is on you to prove that the other party is liable for the accident before you can file a claim against him / her.

Q: What is the pre-repair inspection requirement of the Non-Injury Motor Accidents (NIMA) Protocol?

A: The Protocol requires the claimant to give the paying insurer an opportunity to inspect the vehicle before any repair is carried out. The insurer is to conduct the inspection within two days (excluding Saturdays, Sundays and Public Holidays), upon receiving the notification.

Q: What will happen if one of the parties does not fulfil the requirement of the Protocol?

A: The Court has the rights to impose costs sanctions against the party in breach of the Protocol.

Q: Why do I need to pay the claim cost upfront?

A: If liability of the accident is not clearly determined, workshops may not want to take the risk of financing the cost of repair. Some workshops may require you to settle the repair bill upon collection of your vehicle immediately after repair. Others may agree to finance it at the beginning and later want you to pay up when they encounter problems recovering the claim from the other insurer.

The other party claiming against you

Q: If I am not at fault for the accident, can the insurer contest the claim for me?

A: Insurers will look at all the evidence available before making a decision. The insurers will contest the claim if they are convinced you are not at fault.

Q: How will I be updated on the status if there is a Third Party claim against me.

A: You will be notified immediately on receipt of the notification of claim from the third party and upon the insurer reaching a decision to settle the Third Party claim.

Q: What do I have to do when I received the letters or documents from the third party or their lawyers?

A: You are to submit these documents to the insurers immediately.

Q: What happens if I wish to repair my vehicle instead of settling it on “Total Loss” basis?

A: You will be offered the Economical Repair Value of the vehicle and you can arrange for it to be repaired at your preferred workshop. In certain circumstances, you may need to top up the difference in the repair cost if it exceeds the ERV amount. The insurer will pay you only after the repair is completed and you will be responsible for any post repair issues.

Q: When will a vehicle claim be settled on “Total Loss” basis?

A: If the repair cost exceeds the Economical Repair Value, the insurer will settle the claim on a “Total Loss” basis. The Economical Repair Value is the market value less Preferential Additional Registration Fee (PARF) & Certificate of Entitlement (COE) rebate.

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