How to save on insurance for COE cars
Save money on your COE car insurance with these smart tips and case studies, plus Motorist’s COE renewal and insurance tools.
Owning a COE car in Singapore can be cost-effective, but the necessary insurance costs often feel like a heavy burden.
The good news is that there are smart ways to cut down on motor insurance premiums without sacrificing protection. By knowing your options, you can enjoy your COE car longer without burning a hole in your wallet.
One simple way is to look at limited-mileage plans. According to industry data, drivers who clock less than 8,000 kilometres per year can save up to 20 percent on premiums. Another method is to choose a higher excess.
For example, increasing your excess from $600 to $1,000 can lower your annual premium by 10% to 15%. And of course, always compare quotes - a survey by the General Insurance Association (GIA) shows that premiums can differ by as much as 30 percent between insurers for the same COE car.
Here’s an example of how insurance costs can differ depending on the age of your COE car, coverage type, and No-Claim Discount (NCD) :
COE car's age |
Coverage type |
NCD |
Average premium (per year) |
Remarks
|
|---|---|---|---|---|
| 10 years | Comprehensive | 50% | $1,200 | Wide choice of insurers |
| 10 years | Comprehensive | 30% | $1,700 | Higher premium due to lower NCD |
| 20 years | Comprehensive | 50% | $1,800 to $2,000 | Very few insurers cover COE cars of this age |
| 20 years | Comprehensive | 30% | $2,600+ | Limited options, very costly |
| 20 years | Third party only or Third party, fire & theft | 50% | $1,500 | Most common option, still affordable |
| 20 years | Third party only or Third party, fire & theft |
30% | $1,800 | Still available, slightly higher premium |
The table shows that for 20-year-old COE cars, the comprehensive insurance coverage is expensive and hard to find.
In reality, most owners choose third party only or third party, fire & theft plans, which cost around $1,500-$1,800 depending on the insured's NCD. This makes such coverage the more practical choice for older vehicles.
If your car is nearing the end of its COE validity, you should ask yourself if it’s worth renewing. Insurance costs for cars beyond 20 years can be significantly higher, which is why knowing your car’s value is important before committing to another 5 or 10 years of COE extension.
Before renewing your COE or buying motor insurance, use the Motorist App to check the COE renewal page and explore the best Insurance options.
It helps you decide if keeping your car makes financial sense - or if selling it might be the smarter move. Save money, drive smarter, and let Motorist guide you.
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