Types of Car Insurance Claims in Malaysia and How to Make One

Not every car insurance claim works the same way. The route you take depends on who caused the accident and what cover you hold. Choosing the wrong one can cost you your No Claim Discount (NCD) or slow down your repair. This guide explains the three types of motor claims used in Malaysia and the steps to follow after an accident.

Which claim type applies to you?

Claim type	When it applies	Who pays your repair	NCD effect
Own damage (OD)	The accident was your fault, or fault is unclear	Your own insurer	You usually lose your NCD
Own damage knock-for-knock (OD-KFK)	The accident was not your fault and the other driver is identified	Your own insurer first, which then recovers from the other party’s insurer	NCD is not affected
Third party (TP)	The accident was not your fault	The other party’s insurer	Not applicable, as you do not claim on your own policy

Both OD and OD-KFK claims require comprehensive cover. A third-party-only policy does not pay for damage to your own car. If you are unsure which cover you have, check your policy schedule or ask your insurer.

1. Own damage claim (OD)

You make an OD claim to your own insurer when you caused the accident. It is also the claim route for damage with no other party involved, such as hitting a barrier. Only comprehensive policyholders can use it. You pay the excess, and the insurer pays the rest of the approved repair cost.

A successful OD claim normally resets your NCD. There are exceptions. If the police confirm the accident was not your fault, or you hold an add-on that protects your NCD, your discount may stay. Check your policy wording or ask your insurer before you claim.

2. Own damage knock-for-knock claim (OD-KFK)

If another driver caused the accident, you can still claim from your own insurer. Your insurer pays for your repairs first and then recovers the cost from the other party’s insurer. Your NCD stays intact, and repairs usually start sooner because you do not wait for the other side to agree on liability.

Comprehensive cover is required. You also remain responsible for any excess. Read more in What Is a Knock-for-Knock Claim?.

3. Third-party claim (TP)

When the other driver is at fault, you can claim against the other driver’s insurer. You can send the claim directly to that insurer, and you can also claim for losses beyond the repair bill. These include your excess and CART (Compensation for Assessed Repair Time). CART is based on the number of days the adjuster assesses your car needs to be repaired, not the days it spends in the workshop.

For a third-party claim, you need to send your car to the other insurer’s panel workshop and have an adjuster assess the damage. Keep your original taxi or car rental receipts, because CART is calculated from them.

How to make a car insurance claim: step by step

1. Check for injuries and move to safety. Call 999 if anyone is hurt. Arrange towing through your insurer if the car cannot be driven.
2. Take photos and collect details. Photograph both cars, the plate numbers and the scene. Note the other driver’s full name, IC number and phone number.
3. Lodge a police report within 24 hours. Go to the nearest police station. A late report can complicate the claim.
4. Notify your insurer. Do this as soon as possible. Insurers commonly ask for notification within 7 days of the accident, so check your policy.
5. Send the car to an approved workshop. Use your insurer’s panel workshop, and for a third-party claim, arrange an adjuster’s assessment.
6. Submit your documents. Prepare the claim form, original police report, copies of the driver’s and policyholder’s IC and driving licence, the vehicle ownership certificate and the accident photos.
7. Wait for approval, then repair. Repairs begin once the claim is approved. You pay the excess and any betterment charge.

Our guide to how to check your car insurance claim status helps you track progress after submitting.

Can you claim for a minor accident?

Yes, you can claim for any accident. For small scratches or a cracked tail light, however, the repair may cost less than your excess, or less than the NCD you would lose. Compare the repair quote with your excess and discount before deciding. Our article on whether to claim or pay for the repair yourself walks through the maths.

What if the other driver has no insurance?

You still have options. If you hold comprehensive cover, you can usually claim through your own insurer. You may also take civil action against the driver, which takes time and money. Either way, lodge a police report within 24 hours and record the other car’s plate number, the driver’s name and phone number. You can check whether a vehicle is insured using the MyJPJ app. See what you can claim if you are hit by an uninsured driver for more, or what to do after a hit-and-run if the driver cannot be found.

If your claim is rejected or delayed

Contact your insurer first and ask for the reasons in writing. If the issue is not resolved, you can escalate to Bank Negara Malaysia through BNMLINK. The Persatuan Insurans Am Malaysia (PIAM) also offers general information on motor insurance.

Conclusion

Knowing the type of claim before you call your insurer saves time and protects your NCD. Use OD when you are at fault, OD-KFK when you are not at fault and want faster repairs, and a third-party claim when you want to recover your wider losses. Whichever route you take, lodge the police report within 24 hours, gather evidence and keep your receipts.

Ready to review your cover before the next accident? Compare comprehensive car insurance quotes from multiple insurers with BJAK.