Motor Insurance: Three Things Every Malaysian Should Know

1. Motor Insurance: Three Things Every Malaysian Should Know When it comes to buying motor insurance in Malaysia, people make certain mistakes that cost them dearly at the end. If you are not careful enough, your premium costs may go up or your policy may be rendered useless when you need it the most. So don’t be ignorant or you have to pay the price! Whether you have already taken motor insurance or planning to take one for your new car, here are the three things that you must know. Does your insurance cover you and your family members? If you own a car, probably you are a good driver. However, your spouse, father, mother, brother, sister, or drinking buddy may not be! When you sign an insurance contract, you are the default named driver. For instance, when you are covered under insurance policy, you may have to pay $200 if you wreck a car. This figure increases when your family member who is not covered is involved in some kind of accident. You can add your family members as drivers under your policy, but it might increase your premium costs. Some insurers in Malaysia allow you to add a certain number of named drivers for free. Can taking NCD with motorcycle insurance policy help you save premium costs? What is NCD? No Claim Discount (NCD) coverage under motorcycle insurance policy in Malaysia can help you save on premium costs. NCD is tied to the default named driver and not the car. It is extended to you when you do not make any claim during the policy period. When you renew your policy, you are entitled to receive NCD. Have you updated your insurance provider about major changes in life? You would ask why there is a need to update my insurance provider about my life changes. The answer is simple: you could save yourself some money by doing so. How? For instance, when you are married or work in a good working environment, motor insurance providers in Malaysia consider you a lower risk customer and offer your discounts on premiums. If your spouse has received her driving license, then update your provider about this and ask them to add your spouse as named driver in your insurance policy. If the unregistered driver gets involved in an accident, your insurer may refuse to cover the damage. So, it’s better to pay slightly higher premium than not getting covered for damages in case of accident. It’s not like that lower premium insurance policy is the best option for you, or the higher premium one will offer you best coverage. Always look into the pros and cons of taking a particular motor insurance. Also, note that all insurance companies in Malaysia are different and continuously evolving. Your options, premium costs, and conveniences will also vary between companies and may even change from one policy term to the next. Do consider the aforesaid questions while finding the right motor insurance in Malaysia and insurer