PGI Motor Insurance

Question 1

What are the three types of motor insurance coverage available in Singapore?

Accepted Answer

Third-Party Only, Third-Party Fire and Theft, and Comprehensive

Answer

Basic, Standard, Premium

Answer

Minimum, Medium, Maximum

Answer

Liability, Collision, Full

Question 2

What is the No Claim Discount (NCD) system in Singapore motor insurance?

Accepted Answer

A discount on premiums for each year without claims, starting at 10% and increasing to a maximum of 50% after 5 claim-free years

Answer

A loyalty programme for repeat customers

Answer

A discount for paying premiums annually

Answer

A discount for older vehicles

Question 3

What is the 'excess' amount in a Singapore motor insurance policy?

Accepted Answer

The first portion of each claim that the policyholder must pay out of pocket before the insurer pays the rest

Answer

The maximum claim amount

Answer

The premium surcharge for high-risk drivers

Answer

The amount refunded at policy end

Question 4

What additional excess applies to young drivers in Singapore motor insurance?

Accepted Answer

Drivers under 27 or with less than 2 years of driving experience typically face an additional young/inexperienced driver excess

Answer

No additional excess applies

Answer

Young drivers get discounts instead

Answer

Only drivers over 65 face additional excess

Question 5

What happens to the NCD if a motor insurance claim is made in Singapore?

Accepted Answer

The NCD is reduced or lost entirely depending on the insurer's policy, typically dropping by 10-30 percentage points per claim

Answer

NCD is unaffected by claims

Answer

NCD only changes at renewal

Answer

NCD increases with claims

Question 6

What is a 'named driver' policy in Singapore motor insurance?

Accepted Answer

A policy that only covers specifically named drivers; any unnamed driver using the vehicle is not covered

Answer

A policy for famous drivers

Answer

A policy for company vehicles only

Answer

A policy covering any driver