To curb the rising losses the whole motor industry is facing, General Insurance Association of Singapore has come up with a new Motor Claims Framework (MCF). This new MCF will be implemented industry wide with effect from 1st June 2008.

Key requirements you need to know are as follow:

  1. Insured driver/policyholder should report any accident at one of insurer’s Approved Reporting Centres (ARC) with the accident vehicle for photo taking within 24 hours or the next working day (if accident occurs during the weekends/public holiday). Motorists need to bring their accident vehicle to the ARC regardless of how minor the accident may be (even if there is no visible damage). Failure to comply with this new condition will affect the insured’s No Claim Discount (NCD) over and above the existing NCD rules and/or a denial of your claim in respect of that particular occurrence.
  2. Failure to report an accident within the required timeframe will result in reduction of 10% NCD for private vehicles and 5% for commercial vehicles and motorcycles. Accident NCD will be applied first before the Non-Reporting NCD.
  3. Insurer’s authorized workshops will provide “one stop” service for all matters relating to claims. They should assist insured in making claim against third parties if policyholder is not primarily liable and no utilization of lawyer are allowed in the third party claim process unless attempts to settle fails.
  4. Do not deal with any unauthorized tow truck operators or workshops.

For more details on the new Motor Claims Framework, please refer to the Briefing Slides Template provided by GIA.


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Ivan Guan is the author of the popular book "FIRE Your Retirement". He is an independent financial adviser with more than a decade of knowledge and experience in providing financial advisory services to both individuals and businesses. He specializes in investment planning and portfolio management for early retirement. His blog provides practical financial tips, strategies and resources to help people achieve financial freedom. Follow his Telegram Channel to join the FIRE community.
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