When it’s time to renew your car insurance, one key question always comes up:
Should I choose third-party, comprehensive, or add-on coverage?
Each option offers different levels of protection — and understanding the differences can help you avoid paying too much or being underinsured when something happens.
Let’s break it down simply.
Third Party Insurance
This is the most basic and affordable insurance type — and it’s the minimum legal requirement for all registered vehicles in Malaysia.
What’s covered:
- Damage to other people’s vehicles or property
- Injury or death caused to third parties
What’s not covered:
- Damage to your own vehicle
- Loss or repair costs if you are at fault
Best for:
- Older, lower-value vehicles
- Budget-conscious drivers who only need the bare minimum
Comprehensive Insurance
This type of policy provides more complete protection, covering both third parties and your own vehicle.
What’s covered:
- Damage or loss to your own car (accidents, fire, theft)
- Liability to third parties
- Certain natural disasters (depending on insurer and plan)
What’s not covered unless added:
- Floods or natural disasters
- Windscreen damage
- Own damage claims with no third party involved (depending on policy)
Best for:
- New or high-value vehicles
- Drivers who want broader protection
Add-On Coverage (Optional Riders)
Best for:
- Drivers who want complete peace of mind
- Those who travel long distances or park in flood-prone areas
- E-hailing or daily commuters who can’t afford long downtimes
Comparison Summary
Final Thoughts
There’s no one-size-fits-all when it comes to car insurance.
- Third-party insurance is fine for legal compliance and older vehicles.
- Comprehensive insurance is ideal for cars you want to protect fully.
- Add-ons give you extra protection that can save you thousands during unexpected events.
Platforms like BJAK let you compare and customise your policy easily — including popular add-ons like VIP Rescue, CART, Flood Coverage, and more.
Choose what fits your driving needs, risk level, and budget — and drive with confidence.
Read more:
The Easy Way to Renew Your Car Road Tax Online in Malaysia
Car Insurance Payment Options in Malaysia – EPP vs BNPL vs Cash
