July 30th, 2009 by The Rider

Singapore Car Insurance – How Your Car Insurance Premium is Determined

In Singapore, car insurance premiums are priced according to the risk level insurers have to bear. As a consumer, knowing these factors help you navigate around potholes so you can get the most competitive motor insurance in the market — every time.

In general, the following are major factors that insurers take into consideration:

1. Make and Model of Vehicle, Engine Capacity & Age of vehicle  

Generally the more visually attractive & higher-performing cars with high engine capacity will attract the highest car insurance premiums.

2. Nature of Vehicle Usage (private use/corporate use/commercial use/hire, etc.)  

Premiums change with different types of vehicle utilization. This is because the exposure to risk is higher for vehicles meant for commercial use or hire.

3. Age, Sex and Occupation of Driver

Insurers are biased – they tend to offer females better rates than males and prefer older drivers under seventy years old than young, inexperienced drivers. For the occupation of the driver, most insurers only classify them according to indoor or outdoor work.

4. Marital Status of Insured

Married drivers are charged less than single ones – sometimes this difference can be as much as 7%.

5. Driver experience (Number of Years)

Most insurers would not even bother to insure drivers who have less than one year’s driving experience and will slap drivers with only a year of driving experience with an exorbitant premium. With more than four years driving experience, you can enjoy better rates than drivers with less.

6. Claims History of Driver

Some insurers decline to quote drivers with a claims history of more than five thousand Singapore dollars. Driver with less than such claim amounts are often accepted, but they are often given very high rates.

7. Type of Cover (Third Party Only, Third Party Fire & Theft or Comprehensive)

The minimum requirement for vehicle insurance in Singapore is Third Party Only insurance, provided the finance company is able to accept this arrangement. This type of insurance costs the least, followed by Third Party Fire & Theft and Comprehensive Coverage Insurance. Generally, it is advisable to take up at least Third Party Fire & Theft coverage instead of just Third Party Only insurance so that you may not be in financial liability if your vehicle is destroyed by either fire or theft, assuming your vehicle is still under hire purchase.

Insurers will give each risk factor a weighting based on a range of statistics and past claims experience — all these boils down to the business risk that car insurance companies have to take in order to maintain their insurance operation.

The good news is even if you do not understand how all these work, you can still benefit from market inconsistencies if you understand this fact:

Different insurers have different preference for particular brands or models, according to the claims experience in their company.

This is more apparent when insuring private vehicles, trucks and commercial vehicles than when it concerns motorcycles.

If you are able to get 6-7 quotes from different insurers, these inconsistencies become crystal clear. Even though their coverage may be the same, their premiums differ — sometimes by as much as 79%.

Knowing this, you can grab at least six to seven quotes from reputable insurers in Singapore to compare quotes. Then grab the cheapest three to start comparing other features like windscreen coverage, loss of use benefit and workshop provision.

Finally, remember to ask for feedback on their customer service. It is really no use paying for dirt cheap insurance that takes many frustrating months to claim from. This can add undue psychological stress on top of the pressure that you have to cope with while dealing with the after-effects of an accident.

About the Author

A summary of this article is available at http://ezinearticles.com/?Singapore-Car-Insurance—How-Your-Car-Insurance-Premium-is-Determined&id=2196936

Carl Vouz is a prolific writer for the car enthusiast and auto insurance community. His articles are publicized widely and has helped car owners implement insurance tips that only professionals know.

July 29th, 2009 by The Rider

There are so many different insurance companies out there offering insurance services that it can be quite a challenge finding one to suit your needs. There are a number of factors to consider, though, that can assist you in narrowing down your options and choosing a company that suits your specific insurance needs.

Financial Stability

In the current financial crises, insurance companies are filing for bankruptcy all over the world. This should be a major concern for the consumer because it can directly influence the outcome of any possible claims you may need to make. For this reason, it is very important that you only consider insuring with a company that has a rock solid financial history. In addition to that, you also need in ensure that the company you are considering has a positive financial outlook during these worrying global recession. There are also companies with independent ratings of existing insurance companies like A.M. Best, Fitch, Moody’s and Standard & Poor’s.

Cost of Premiums

Your monthly premium will obviously have the most direct impact on you, the consumer. Due to budget requirements, you may not be able to afford the best insurance or the most comprehensive policy. Most companies have multiple policies with multiple levels of cover. The cost of a certain amount of cover will also differ from company to company. It is therefore very important to shop around for motor insurance until you find a company that offers the range of cover you require, at a premium you can afford.

Service Levels

Service levels will influence your experience tremendously after you have signed with an insurance company. There are many sites on the Internet that have independent, user generated reports on service levels that people have experienced with specific insurance companies. If a company has track record of poor service, you may have some problems when it is time for you to submit a claim. To that effect, make sure that the company and/or your broker is always easily accessible.

Reputation

Finally, you need to consider the company is questions’ reputation. Making some light conversation with family and colleagues will quickly help you to form a first-hand opinion of a prospective insurance company. Make sure you feel comfortable with you choice and be willing to change if they seem to start slipping away from their original service level.

Therefore, before purchasing car or motorcycle insurance from the insurance company that offers you the lowest premiums do a bit of research and make sure that the company meets the criteria listed above. This could help you avoid nasty surprises in the future.

About the Author:

Johan is a marketer at CheapCarInsurance.co.za and has vast experience in the insurance industry. He recommends that consumers shop around for motorcycle insurance and car insurance quotes and learn about insurance companies like AIG and Old Mutual.

Article Source: ArticlesBase.com – Picking An Insurance Company

Pioneer Insurance Brokers Ltd – Kitchener

July 25th, 2009 by The Rider

Where can I get scooter insurance?

I am looking for insurance for a 150cc Scooter. I can not find any companies that want less than $1500 a year. Geico quoted me that, but I think they thought I had a motorcycle. Any ideas on companies?

I would assume a scooter would be insured as a motorcycle. It certainly isn’t a car. $1500 seems very expensive, even with the assumption that you are a young person (although you didn’t state your age). Do you have a clean driving record?

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