How to select a good car insurance provider in the Philippines: Key tips & considerations

Choosing the right car insurance provider is crucial, as having the correct partner by your side can save you a lot of trouble and money down the road. Talking about the Philippines car insurance market, it has a plethora of options, thus making it essential for an applicant to understand what to look for in a provider.

We have therefore curated a guide with comprehensive tips and considerations to help you select the best car insurance provider tailored to your needs. But first, let us understand car insurance in the Philippines in brief, as only by knowing the basics of what car insurance entails and the types of coverage available is the first step in making an informed decision.

Car insurance in the Philippines

Car insurance in general offers protection against various risks such as theft, accidents, and natural calamities. It is not only a legal requirement but also a financial safeguard. Here are some common coverages offered -

Comprehensive Insurance: Covers a wide range of incidents, including theft, fire, natural disasters, and third-party liabilities.

Third-Party Liability (TPL): The minimum legal requirement that covers damages to third parties.

Also Read: Compulsory Third-Party Liability Insurance (CTPL) vs. Comprehensive Insurance: What's best for you?

Acts of Nature Coverage: Specifically covers damages due to natural disasters like floods and earthquakes.

Also Read: Understanding nature and acts of God coverage for your car in the Philippines

Evaluate car insurance needs

After getting a basic knowledge about the car insurance market, it is time to select a provider for which an applicant must first assess his/her specific needs. We’d say consider factors like the age and model of your car, your driving habits, and your budget. Further, determine whether you need comprehensive coverage or if TPL suffices for your situation.

Searching for an insurance provider

It is now time to compile a list of potential insurance providers. Use online resources, ask for recommendations, and consult with insurance brokers. Websites like Carmudi offer valuable insights and comparisons.

Also Read: Choosing the right car insurance policy in the Philippines

Choosing an insurance provider: Key tips

When choosing an insurance provider, it is essential to consider the following factors before making a final call.

• Do ensure the provider has a solid reputation and strong financial health. Check ratings and reviews from trusted sources.
• Look for flexibility in coverage options so that it can be tailored to your needs.
• It is a good idea to compare premium costs but also consider the value of coverage and services offered.
• A hassle-free claims process is essential. Read reviews on how efficiently claims are handled.
• Good customer service is crucial. Opt for providers known for their responsive and helpful support.

Also Read: Understanding car insurance cost in the Philippines in 2024

Select a good car insurance provider: Major considerations

#1 Checking providers reputation and financial health

Evaluate the reputation of potential providers through customer reviews and ratings. Websites like Insular Life highlight the importance of selecting a financially stable company that can fulfill its commitments. Look for companies with high ratings from independent agencies.

#2 Assessing coverage options & flexibility

Different providers offer varying levels of coverage. Ensure the provider offers comprehensive policies that cover a wide range of incidents. The ability to customize your policy according to your specific needs is also a plus.

#3 Understanding the claim process

The efficiency of the claims process is a critical factor. Read reviews and ask around to learn about the experiences of other customers. A provider with a quick and fair claims process will save you a lot of stress in case of an accident.

#4 Cost vs Value

While cost is a significant factor, it shouldn’t be the only consideration. Look at what you’re getting for your premium. Sometimes, paying a little more for a comprehensive policy with better service is worth the investment.

#5 Customer service & support

Customer service can make or break your experience with an insurance provider. Opt for companies that offer 24/7 support and have a reputation for being helpful and responsive.

#6 Special features & add-ons

Many providers offer special features or add-ons such as roadside assistance, free towing, or rental car coverage. These can be valuable extras that enhance the overall value of your policy.

#7 Understanding policy terms & conditions

Always read the fine print. Understanding the terms and conditions of your policy will help avoid any surprises when you need to file a claim.

#8 Consider provider’s network of partners

A wide network of accredited repair shops and service centers is a significant advantage. It ensures you have convenient and trustworthy options for repairs and maintenance.

#9 Legal & regulatory compliance

Ensure the provider is compliant with local regulations and has the necessary licenses to operate. This adds a layer of security and trust.

#10 Customer reviews & testimonials

Customer reviews and testimonials offer real-world insights into what it is like to work with a particular insurer. We’d also suggest looking for patterns in the feedback, this will help gauge the reliability and quality of service.

#11 Get quotes & compare offers

Once you have a shortlist of providers, get quotes from each. Comparing these quotes side-by-side will help you see which offers the best value for your money. Online tools can simplify the process of comparing different insurance providers.

#12 Check special offers & discounts

Many providers offer discounts for various reasons, such as bundling multiple policies or having a good driving record. Take advantage of these discounts to lower your premiums. So, always ask if there is any ongoing offer.

Also Read: Car Insurance: Common inclusions and exclusions you need to know

A little extra advice

While there are some major considerations to keep in mind while selecting a car insurance provider, there are few more points an applicant must keep in mind while and after purchasing the policy. The list includes -

Be sure & confident

After thorough research and comparison, you should have a clear idea of which provider best meets your needs. Make sure all your questions are answered and that you’re comfortable with your choice before signing any agreements.

Understanding of inclusions & exclusions

Once you’ve selected your provider, proceed with purchasing your policy. Ensure all the details are correct and that you have a clear understanding of the coverage and exclusions.

Maintaining the policy

It is important to regularly review your policy to ensure it continues to meet your needs. Also, make sure to notify your provider of any changes that might affect your coverage, such as a change of address or the purchase of a new vehicle.

Review the policy

When it’s time to renew, shop around again to see if better options are available. Loyalty to one provider can be beneficial, but staying informed about the market can help you get the best deal.

Bottom line

Selecting the best car insurance provider in the Philippines involves careful consideration of various factors, from the provider's reputation and financial stability to coverage options and customer service. An applicant needs to conduct thorough research and compare different providers, this will help them find a policy that offers the best value and protection needed.

Also Read: Driving habits that insurance companies prefer