The short answer is no. Comprehensive is the widest type of car insurance you can buy in Malaysia, but it does not protect you against every risk. Some common situations, such as flood damage or a cracked windscreen, are only covered if you add extra protection to your policy.
This article answers the questions drivers often ask after an accident or a claim rejection: is this covered or not? For a full explanation of how comprehensive plans work and how premiums are calculated, read our comprehensive car insurance guide.
What comprehensive cover means
Comprehensive insurance is also called first party cover. According to Bank Negara Malaysia (BNM), it is the only type of motor policy that pays for accident damage to your own car. It also covers fire and theft of your car, and your legal liability to other people.
The other types offer less. Third party cover only pays for your liability to others, while third party, fire and theft adds protection if your car catches fire or is stolen. Our article on 1st party vs 3rd party insurance compares them side by side.
What a comprehensive policy usually pays for
Benefits and limits differ between insurers, so always check your own policy. In general, a comprehensive policy covers:
Damage to your car caused by an accident, whoever was at fault
Loss of your car through theft, and damage caused by accidental fire
Your liability if you injure or kill another person in an accident
Your liability for damage to someone else’s car or property
Some plans include extras. For example, one insurer’s Product Disclosure Sheet lists unlimited cover for third party injury or death, up to RM3 million for third party property damage, and up to RM200 for towing after an accident. Other insurers may offer different limits.
Is it covered? 10 everyday situations
The table below shows how a standard comprehensive policy usually treats common situations. Your exact terms depend on your insurer and policy wording.
Situation
Covered by basic comprehensive?
What you need
You reverse into another car in a car park
Yes, both your car and the other car
No add-on, but excess may apply and your NCD will be affected
Your car is stolen from outside your house
Yes
No add-on; claim up to your sum insured
Your car is submerged during a monsoon flood
No
Special Perils add-on
A stone cracks your windscreen on the highway
Usually no
Windscreen add-on
You are injured in an accident
No
Personal Accident cover
A passenger in your car claims against you
No
Legal Liability to Passengers add-on
Your car is damaged during a riot
No
SRCC add-on
Your engine fails because of wear and tear
No
Not insurable; this is a maintenance cost
Your sports rims, fitted after purchase, are stolen
Not unless declared
Declare the accessories to your insurer
The driver was drunk at the time of the crash
No
Not insurable
Gaps you can close with add-ons
Most of the gaps above can be filled with optional add-ons, also called extensions. Motor add-ons such as windscreen and flood cover are optional, and BNM does not allow insurers to force you to buy unrelated non-motor cover. Our article on whether insurers can force you to buy add-ons explains your rights.
Flood, storm and landslide
BNM lists flood, storm and landslide damage as natural events that a standard policy does not cover. You can extend your policy for an extra premium. Our comparison of Special Perils vs flood add-ons explains the options.
Windscreen, windows and sunroof
A windscreen add-on pays to repair or replace your car’s glass. Allianz Malaysia notes that a claim under this cover does not affect your No Claim Discount (NCD). Your NCD is the discount you earn on your premium for every claim-free year.
Your own injuries and your passengers
A motor policy does not pay for your own injuries or death in an accident. It also does not cover your liability to passengers in your own car. For these risks, look at Personal Accident cover and Legal Liability to Passengers cover.
Riots, strikes and other drivers
Damage caused by strikes, riots or civil commotion is excluded unless you buy SRCC cover. If family members or friends often drive your car, the All Drivers add-on can save you an extra excess when an unnamed driver makes a claim.
What comprehensive insurance usually excludes
Some losses fall outside a standard comprehensive policy altogether. Based on BNM’s guidance and insurers’ disclosure sheets, the common exclusions include:
Wear and tear, rust and corrosion
Mechanical or electrical breakdown
Depreciation and consequential loss, such as the drop in your car’s value after repairs
Losses while the driver is under the influence of alcohol or drugs
Losses caused by a driver who is not authorised under your policy
Covered does not mean fully paid
Even when your claim is accepted, the amount you receive can be lower than you expect. Keep these points in mind:
Sum insured: your payout cannot exceed the amount your car is insured for. Insuring it at the right value helps avoid underinsurance. Read more about sum insured in vehicle insurance.
Excess: this is the part of the claim you pay yourself. Many policies add a compulsory excess of RM400 when the driver is under 21, holds a P or L licence, or is not named on the policy, as shown in this sample Product Disclosure Sheet.
NCD: an own damage claim usually resets your NCD to zero at your next renewal, which makes your next premium higher.
Betterment:BNM explains that if your car is five years or older and is repaired with new original parts, you may have to pay part of the cost.
Is comprehensive cover right for your car?
Comprehensive cover makes most sense when repairing or replacing your car would be expensive. This applies to new cars, cars still under financing and cars driven often on busy roads or long trips.
If your car is old and its market value is low, a cheaper third party, fire and theft policy may be enough. Compare the premium difference with the value of your car before you decide.
Check the gaps before you renew
Comprehensive insurance gives you the widest protection, but it is not a policy that covers everything. Read your policy schedule, note what is excluded and add only the extensions that match where you live and how you use your car.
Compare comprehensive car insurance plans and add-ons from multiple insurers at Bjak before your next renewal.
Does comprehensive car insurance cover flood damage?
Not on its own. Flood, storm and landslide damage is excluded from a standard comprehensive policy. You need to add Special Perils cover or a similar flood extension for an extra premium.
Will my NCD be affected if I make a comprehensive claim?
An own damage claim usually resets your No Claim Discount to zero at your next renewal. A claim under a windscreen add-on generally does not affect your NCD, but check your policy terms.
Am I covered if someone else drives my car?
Usually yes, if the driver is authorised under your policy. However, many policies add an extra RM400 excess if the driver is under 21, holds a P or L licence, or is not named on the policy. An All Drivers add-on can remove this extra excess.
Does comprehensive insurance pay for my own injuries?
No. A motor policy does not cover your own injury or death in an accident. You need Personal Accident cover for this protection.
Does comprehensive insurance cover engine breakdown?
No. Mechanical and electrical breakdown, wear and tear, and rust are excluded. These are treated as maintenance costs, not insurable events.
Is comprehensive car insurance compulsory in Malaysia?
No. The law requires at least third party cover. Comprehensive cover is optional, but it is the only type that pays for accident damage to your own car.
Nabil Farhan· · 5 min read
