Under the Motor Vehicles (Third-Party Risks and Compensation) Act (Cap. 189), every user of a motor vehicle in Singapore must have in force an insurance policy, which provides him or her with indemnity for legal liabilities arising out of death or bodily injuries of a third-party in connection with the use of a motor vehicle on the road.

It is an offence to drive or be in charge of a vehicle on a public “road” without a Motor Car Insurance policy.

There are 4 types of Motor Insurance covers:

A)“Act Liability Only”

 It covers:

1. only death or bodily injury to third-parties (including passengers)

It does not cover:

1. property damage to third-parties
2. bodily injury to the insured
3. damage to the insured vehicle
4. accidents that happen in other places (e.g. private property) which are not included in the definition of a “road” under the Act

B) “Third-Party Only”

It covers:

1. death or bodily injury to third-parties and/or passengers; and
2. damage to property belonging to third-parties (including accidents occurring on the road and on private property)

It does not cover:

1. damage to the insured vehicle arising out of any cause

C) “Third-Party, Fire And Theft” 

It covers:

1. what is insured under a “Third-Party Only” policy
2. the insured’s own vehicle against loss or damage which may result directly from fire or theft

It does not cover:

1. damage to the insured’s own vehicle by any other peril

D) “Comprehensive”

This type of policy offers the broadest protection against financial loss from using a motor vehicle. It covers:

• the insured’s liability for causing bodily injury (including death) or property damage to third-parties (including bodily injury and death of passengers)
• damage to the vehicle that the insured owns
• additional benefits, e.g. medical expenses and towing