The main thing to know about buying motor insurance singapore is that the premiums are priced according to the risk the insurance company has to bear. Factors are weighted according to the claims experience of each company and so prices can vary considerably according to the relevant factors of each policy. It is therefore very beneficial to shop around and the price variation can be as much as 79 per cent.
There are a wide range of major factors that influence this. The make, engine capacity and model of the vehicle to be insured is the first factor. A fast engine in a good looking car which is very popular is more likely to be stolen and possibly crashed, and therefore the risk to the company and so the policy cost is higher.
The use of the vehicle is the next consideration. Hire vehicles, business and commercial use will be classed as higher risk than a family run around. A taxi is open to much abuse and like company vehicles may do many miles, this increases time on the road and therefore chances of an accident.
Then the company need to know about the driver, their sex, age and job of work are all factors that are taken into consideration. An older more mature driver with years of driving experience will have cheaper policies than a young driver who has just gained their licence. While women seem to get cheaper insurance than men, work is merely classified as indoor or outdoor, with outdoor being a higher risk factor.
Driver experience is obviously a factor with the costs getting cheaper for every year of experience up to the first four years. For some reason marital status is also important. Single drivers pay more than married ones by up to as much as 7 per cent.
Another relevant fact is the accident history of the driver. Drivers who have claims against their past policies may find it hard to get insurance if the claims are over 500 Singapore dollars. While there are companies out there who will insure them it will be at a higher cost.
The type of cover required may also make a large difference to the price. The selections are third party only, which gives the bare minimum legal cover to ensure there are funds for claims made against the driver in the case of an accident. Third party fire and theft, which gives a little more cover should the driver’s car be damaged by fire or theft, and fully comprehensive. As the name implies this gives comprehensive cover for the driver, their car and any third parties involved in an accident. This is obviously more expenses and some parts only apply to private car policies.
Once all this information is accumulated by a company a quote can be issued. Although the facts for all these factors are always the same, the various companies have different preferences, depending on their claims experience. This is not so true if buying motorcycle insurance, and the variations on cost will be less. However on obtaining six or seven quotes the difference in cost between the companies will soon become clear, and it will be plain to see that there is much to gain by shopping around when you know about buying motor insurance Singapore
Want to explore all available options on Car Insurance Singapore policies? Get competitive rates for motor car insurance. For more information, visit http://www.automobileinsurancesingapore.com/