AIG Car Insurance Singapore Review (2019)

AIG car insurance is definitely for traditionalists, as it is one of the “old guard” insurers that have been in Singapore for decades. It might be a well-regarded brand, but does it really live up to its reputation?

Let’s take a look at what AIG car insurance plans are available and how they stack up.

 

AIG car insurance plans at a glance

AIG sells only comprehensive car insurance – they don’t offer TPO (third party only) or TPO, fire & theft.

With that in mind, there are 3  comprehensive AIG car insurance varieties to choose from: AutoValue, AutoPlan and AutoPlus. Here’s a quick look at the difference between them:

AIG car insurance plan	AutoValue	AutoPlan	AutoPlus
Choice of workshop	AIG authorised workshops only	No restriction on workshops	Dealer’s workshop for cars up to 3 years old / otherwise AIG authorised workshops
Replacement car provided?	No	Yes for cars up to 3 years old	Yes for cars up to 3 years old
Excess waiver?	None	None	Up to $500 / $1,000
Other perks	None	None	Courtesy car + roadside assistance
Recommended for	Older cars (no more warranty), second hand cars, parallel import	Cars up to 3 years old	Cars up to 3 years old, drivers who cannot live without a car

AIG AutoValue is the most basic and cheapest plan. It covers just the basics, i.e. third party damages, car loss or damage (e.g. fire, flood, theft), personal accident benefits, car towing and repairs. However, repairs are restricted to AIG authorised workshops.

AIG AutoPlan basically offers the same coverage as AutoValue but allows you to go to any workshop. It also has a replacement car benefit for cars under 3 years old. AIG will pay for a new car of the same make and model if it is damaged beyond repair.

As a premium insurer, AIG typically concentrates its key benefits among the upper tiers, and this is no different for AIG AutoPlus which has a whole slew of extra perks on top of the AutoPlan coverage.

For a start, you can waive your excess for free (up to $1,000 for 50% NCD, up to $500 below 50%). If your car is stuck at the workshop, you can use AIG’s courtesy car for free for an unlimited period of time. And finally, there’s free roadside assistance which you can call upon to help with even tasks like changing a tyre.

You can compare coverage and read the policy documents on AIG’s car insurance page.

Looking to buy AIG car insurance? Compare the best quotes from 10 different Singapore car insurance providers first.

 

What add-ons can you choose with AIG car insurance?

NCD Protector: If your No Claim Discount (NCD) is 50%, you can add on this protector to maintain your NCD in the event that you have to make a claim. Note that if you buy the upper tier plans (AutoPlan and AutoPlus) you will get a free NCD Protector on your 50% NCD when you renew.

Courtesy car: Unlike the overwhelming majority of insurers in Singapore who only give you a daily transport allowance when your car is being repaired, AIG still does the whole courtesy car shebang. They’ll deliver the car right up to your doorstep and you have unlimited use of it until your car is back from the workshop.

It’s free for the premium AIG AutoPlus plan, but for other plans you can also pay extra for this perk, with the added cost tacked onto your annual premium. It costs $94.16 more for a 1,500cc to 1,600cc courtesy car, and $115.56 more for 1,800cc to 2,000cc

 

How to get cheaper car insurance with AIG?

No doubt AIG is expensive, although there are people who will pay for the brand name and level of service. Nonetheless, if you want to save money on your AIG car insurance premium, here are a few things you can do:

Type of discount	Description	Amount
NCD (No Claim Discount)	Given in increments of 10% for each year you don’t file a claim	10% to 50%
Flexible excess	Increase excess as high as $3,000 to get cheaper premiums	Varies
Age condition policy	Limit your policy to drivers aged 30, 35 or 40 years and up for cheaper premiums	Varies

While NCD and flexible excess are standard, I like the ability to reduce your premium if you don’t need to cover younger drivers. That makes AIG better value-for-money for older and more experienced drivers.

Additionally, you can get your excess waived in some cases (although it won’t impact your premium):

Type of excess waiver	Description	Amount
First claim excess waiver for AutoPlus policyholders	NCD 50%	Up to $1,000
	NCD below 50%	Up to $500
Excess waiver for in-car camera	Get up to $1,000 excess waiver when you share in-car camera footage	Up to $1,000

 

Why (or why not) choose AIG car insurance?

Let’s be real here – AIG car insurance isn’t for the budget conscious. If you’re considering going for AutoValue, you can probably find a better plan out there for that price point.

Instead, you should go straight for either AutoPlan or AutoPlus to make the most of an AIG motor insurance plan. These are upmarket plans suitable for new cars (3 years old or newer) and if you (or your work or family) are very dependent on your car.

AIG’s biggest selling point is its courtesy car benefit, which pretty much all other insurers have stopped offering. It might seem like a frilly non-essential, but heavy car users will know that taking taxis and driving a car are NOT the same thing. So if you’re heavily dependent on your car, whether it’s for your livelihood or family, you have good cause to consider AIG.

Do you think a courtesy car is worth paying extra for? Tell us why or why not in the comments! See and compare other car insurance plans with MoneySmart.