BCP General Insurance Products

Question 1

What does a motor insurance policy in Singapore typically cover?

Accepted Answer

Third-party liability, own damage, and personal accident depending on the plan type

Answer

Motor insurance in Singapore ranges from third-party only (mandatory minimum) to comprehensive plans covering own damage, third-party liability, personal accident, and additional benefits.

Question 2

In Singapore, what is the minimum motor insurance coverage required by law?

Accepted Answer

Third-party only coverage

Answer

Under the Motor Vehicles (Third-Party Risks and Compensation) Act, all motor vehicles in Singapore must have at least third-party liability insurance to cover injury or death of other road users.

Question 3

What is a 'No Claim Discount' (NCD) in Singapore motor insurance?

Accepted Answer

A discount given for each claim-free year, up to a maximum percentage

Answer

NCD rewards policyholders with premium discounts for each year they do not make a claim, typically starting at 10% and going up to 50% after five consecutive claim-free years.

Question 4

What type of insurance covers a homeowner against fire and damage to the building structure in Singapore?

Accepted Answer

Fire insurance (building insurance)

Answer

Fire insurance covers the building structure against perils like fire, lightning, and explosion. For HDB flats, the HDB Fire Insurance Scheme is compulsory for flat owners with an outstanding HDB loan.

Question 5

What does 'home contents' insurance cover in Singapore?

Accepted Answer

Personal belongings and furnishings inside the home against specified perils

Answer

Home contents insurance covers movable property inside the home, including furniture, electronics, clothing, and personal effects against perils like fire, theft, and water damage.

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BCP General Insurance Products