Accidents can happen anytime—whether it's a minor collision or a major incident—and the repair costs can be significant. With the right motor insurance coverage, you can avoid paying out of pocket for damages, theft, or third-party liabilities.
- Overview
- Product Solutions
Why Motor Insurance is important
Key Benefits of AIA Motor Insurance
Financial Protection Against Damage to your Car,Theft or Natural Disasters
Motor insurance provides financial protection in situations beyond everyday accidents, such as vehicle theft or damage caused by natural disasters. These accidents can severely damage your car, often resulting in costly repairs or even total loss. Without insurance, these expenses would have to be paid entirely out of pocket, which can put a significant strain on your finances.
Worry-Free While Driving
Beyond protection, motor insurance provides reassurance that both you and other road users are safeguarded. It acts as a safety net, knowing that you are prepared for any unexpected challenges that may arise.
Optional Add-Ons for Better Coverage
Flexible to have optional add-ons that aligns with your lifestyle, budget, and level of risk.
Product Solutions
Explore our motor insurance plans to stay financially prepared and focus on what truly matters - your loved one's future.
Frequently Asked Questions
Tariffs are sets of fixed price list created under insurance acts to streamline and control premium charges and policy wordings.
Examples of these are Motor and Fire insurance policies. When premiums are tariffed, insurance companies are not allowed to vary the prices chargeable on the insurance policy.
The liberalisation of motor insurance means that the price of motor insurance products will no longer be determined based on Motor Tariff (a set fixed price list). Pricing will be determined by individual insurers and takaful operators.
Consumers will now be able to enjoy a wider choice of motor insurance products at competitive prices as liberalisation encourages innovation and competition among insurers and takaful operators.
Insurers and takaful operators are able to charge premiums that are in line with broader risk factors inherent in a group of policyholders being insured; and also market new products that are not defined under the tariff.
As the supervisory authority for all financial institutions, Bank Negara Malaysia (BNM) has the oversight on the application of Tariffs.
Insurance premium is calculated based on the sum insured and model of the vehicle. Additionally, insurers are allowed to apply limited premium loading based on the age of the driver and the number of accidents on record. Depending on the driver’s claims history, the calculated premium to be paid is adjusted against the discount (No Claim Discount or NCD).
Typically, drivers with good driving records can enjoy a higher percentage of NCD up to 55%.
However, the driver may experience receiving different quotes from different insurers due to other factors mentioned above.
As Malaysia progresses towards a developed nation status, the insurance market is being opened up to allow a more equitable approach to the charging of premium.
A good risk should be rewarded and a bad risk recognised. This means that a good driver should pay lesser premium compared to another driver who is in a class that is more likely to experience many accidents. There should also be incentives for perceived bad drivers to become better risks and be rewarded with reduction in premium.
Read here to have your questions answered on motor insurance plans.
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