MSIG Malaysia

No matter how good your own driving skills are, owning a car can be an expensive and risky business. That’s why it pays to cover your vehicle against accident or theft.

The MSIG Motor Insurance offers you a thorough and comprehensive approach to motoring wherever you go. If your vehicle is already covered by another insurance company, switching over to MSIG is easy. You may transfer your NCD over in full.

What's more, we have NEW MSIG Motor Add-On* to offer you additional benefits such as Smart Key Shield**, Special Perils - Flood, Storm, Landslide, Landslip or Subsidence Cover** and Driver's Personal Accident Insurance**. Click here to find out more! 

*For Comprehensive Private Car only
**Terms and Conditions apply

One Saturday evening in March 2007, Frank was going home after his golf game. Just as he was about to reach the entrance of his housing estate he stopped at the traffic light at the junction. The car he was driving was a new Mercedes C 200, bought two years ago to reward himself, something to enjoy during his retirement.
 
The next thing he knew was hearing the sound of crashing metal and being jolted to the side. A green Wira was trying to beat the light and had hit the front right of his car! His precious car was dented badly in the front right wheel arch, the front bumper was ripped out and the right front lamps were broken. It was very upsetting.
 
After exchanging particulars with the other driver, he made his way home. Next he called the MSIG Call Centre who were very helpful and offered him advice on the steps to follow. The usual police report was made later in the evening after his dinner. The next morning, Frank sent his car to the MSIG recommended workshop.
 
From that moment on, the MSIG workshop and the Claims personnels did everything for him. The Claim form was completed at the workshop and copies of the relevant documents were taken. Within the same day of dropping the car off, he received a SMS from MSIG informing him that the loss adjuster was assigned and was left with the contact person from MSIG handling his claim. Within a week Frank collected his car.

It was an unpleasant experience and I wouldn’t want to go through it again. Making the police report was a hassle which I spent half a day at the station, not forgetting having to go back there to collect the report. Fortunately, getting the car fixed was easy. All I needed to do was to drop the car off and pick it up a week later. The workshop and MSIG did everything for me. I am glad that everything was settled promptly

Frank

Your policy* comes with FREE Assistance

In the unfortunate event of an accident involving your vehicle or should a breakdown occur, MSIG is at your side to help you. You are entitled to this accident/roadside service assistance without any surcharge to your policy premium.

We have a nationwide network of recommended motor repairers, ready to provide you with prompt, efficient and convenient service, whenever the need arises. Contact 1-300-880-833 or click here for more details about Motor Assist.

*For comprehensive private car only.

1. Do I have to pay GST on my Motor Insurance?

GST on motor insurance premium will be charged at 6% from 1 April 2015.

2. Period of Insurance for my Motor Policy is from 30 March 2015 to 29 March 2016. Will the Insurance Company charge me for GST for the period from 1 April 2015 to 29 March 2016?Especially since the Insurance Company has included a notice on GST on my policy.

For Motor Insurance this depends :

  1. If you pay your premium before 1 April 2015, you do not need to pay GST from 1 April 2015 to 29 March 2016.
  2. If you pay your premium from 1 April 2015 onwards (irrespective of period of insurance) GST will be charged.

Please note that at this juncture, Customs has not officially advised of this relief from GST. To be on the safe side, it would be better to pay your premium before 1 April 2015.

3. Then can I extend my policy perpetually so that I don’t have to pay GST?

GST will be charged for extensions after 1st April 2015.Anyway, it is not advisable since your Motor Policy should be aligned with your Road Tax Expiry.

4. What happens if I decide to increase my policy coverage mid term?

If the effective date of the increase in policy coverage is from 1 April 2015, GST will be charged on the additional premium.

5. If I sell my car and cancel the motor insurance policy, will MSIG refund my premium together with the GST?

Yes, only if GST has been charged and you have paid the GST amount, we will refund the premium and GST. No GST refund, if there is no GST charged with the initial premium.

6. If I transfer my NCD from Car Number ABC 1234 to Car Number XYZ 789, what happens to the GST? 

GST will be charged accordingly on Car Number ABC 1234 and XYZ 789.

7. Do I pay GST on premium for the extension to Kalimantan and Thailand cover?

Yes. 

8. If I reinstate my windscreen cover on or after 1 April 2015, do I have to pay GST on the premium?

Yes.

9. Is GST chargeable on additional perils for example flood?

Yes.

10. Do I pay GST if I purchase my motor insurance from a non-GST registered agent?

GST is chargeable irrespective of the GST status of the Agent.

GST is charged on the motor insurance and collected by the Insurance Company on behalf of Customs.

11. Life insurance is exempted from GST. Do I pay GST if I purchase my motor insurance via a life agent?

Motor insurance is a general insurance product. Hence you will need to pay GST on your motor insurance premium.

12. What does MSIG do with the GST I’ve paid?

MSIG collects GST on behalf of Customs Department & pays to Customs on monthly basis.

13. What about Stamp Duty?

MSIG collects Stamp Duty on behalf Inland Revenue Department & pays Inland Revenue. 

14. Is there any GST on the Stamp Duty?

No. Stamp Duty is a government tax and is not subject to GST.

15. When I renew my car insurance, the sum insured should include or exclude GST?

It should include GST.

1. If I have paid GST charged on the medical expenses, can I claimed back from MSIG?

  • For individual, GST will be reimbursed accordingly.
  • For corporate, it will depend on the corporate’s GST registration status. If GST registered, the approval excludes GST and vice versa.

2. If the insured person met an accident and passed away, what is the GST impact on the claim settlement?

There is no impact on GST as it will be settled as per the policy term i.e. sum insured.

3. If the insured person met an accident and suffered permanent disablement, what is the GST impact on the claim settlement?

There is no impact on GST as it will be settled as per the policy term i.e. sum insured.

4. If I’m GST registered, why will MSIG pay the claims exclusive of GST?

Generally, as a GST registered person, you will be entitled to claim any GST incurred on the claim amount. If this is the case, the GST does not form part of your loss amount.

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General Notes:

GST is law and therefore forms part of the terms & conditions of the policy.  Failure to pay GST means MSIG reserves the right to cancel or void the policy

Disclaimer:

The FAQs provided herein is for general information only and not intended to constitute advice on specific matter relating to GST.  Please consult your tax agent on the application of GST to your particular circumstances.

Motor Assist

Our dedicated Customer Service Officers and staff will be happy to assist with your queries.