Oral Reply by Minister for Transport S Iswaran to Parliamentary Questions on Insurance Claims & Reporting for Road Traffic Accidents

Miss Cheng Li Hui asked the Minister for Transport whether the Government will consider legislating the need for all motorists who are involved in road traffic accidents to report the matter to their insurers, regardless of whether they wish to make a claim.

Ms He Ting Ru asked the Minister for Transport in each of the last three years

a.      how many complaints has the Ministry received from insured parties about the counterparty failing to file an accident report when involved in a road traffic accident; and

b.      what are the remedies available to victims of road traffic accidents who are unable to pursue insurance claims due to the counterparty failing to file an accident report.

Reply by Minister for Transport S Iswaran:

1.     I will address the related questions by Miss Cheng Li Hui and Ms He Ting Ru together. 

2.     In the last three years, the Monetary Authority of Singapore and the Land Transport Authority (LTA) have received 12 complaints and 1 complaint respectively from insured parties about the counterparty failing to file an accident report with their insurer after being involved in a road accident. 

3.     The General Insurance Association of Singapore’s (GIAS) Motor Claims Framework (MCF) sets out the procedures for all accidents to be reported to the insurer within 24 hours or by the next working day, which is incorporated as a condition of all motor insurance policies. The procedure is not however mandated legislatively.

4.     Notwithstanding the above, under the Motor Vehicle (Third Party Risks and Compensation) Act, an insurer cannot refuse liability on the ground that the policy holder has not reported the accident – if the third-party’s claim is for bodily injury or death. Victims of road traffic accidents who remain unable to pursue insurance claims can file a civil claim against the counterparty or claim compensation from their own insurer.

5.     MOT/LTA and MAS will work with other relevant government agencies and the GIAS to review and if necessary, strengthen the requirements for reporting road traffic accidents to insurers.