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🚗 Claiming Car Insurance After an Accident in Malaysia

OD vs TP claims, police reports, panel workshops, NCD impact, and what to do if the other driver is uninsured — every step sorted.

Timeline
1–8 weeks
Cost
Depends on claim type
Difficulty
Moderate
Key Bodies
PIAM, MIB, Insurer
⚠ Never admit fault at the scene. If you admit fault at the accident scene or sign anything from the other party, you may invalidate your claim. Never admit liability — not verbally, not in writing. Just exchange details calmly and let the insurers and adjuster determine liability.
OD Claim vs TP Claim — understand this before anything else. Malaysia has two types of motor insurance claims: an Own Damage (OD) claim, which is made against your own policy, and a Third Party (TP) claim, which is made against the other driver's insurer. Which one you use has major consequences for your cost and NCD (No Claims Discount). Understanding the difference is the single most important thing you can do before filing.

Scenario A: Immediate Actions at the Accident Scene

  1. Check for injuries first. Call 999 for an ambulance immediately if anyone is injured. Do not attempt to move seriously injured persons unless there is immediate danger (e.g., fire).
  2. Do NOT move vehicles if there are serious injuries. Police need to document the scene as-is. Moving vehicles before police arrive can compromise the official accident report (Laporan Polis) and complicate liability determination.
  3. Take photos immediately — be thorough. Photograph every angle of the damage, both vehicles' license plates, the position of vehicles on the road, skid marks, traffic signs, road markings, and any visible injuries. More photos is always better. Time-stamp them if possible.
  4. Exchange details with the other driver. You need: their IC number, driving licence number, vehicle registration number, insurance company name and policy number, and their contact number. Give them yours too. This is a legal obligation.
  5. If the other party is uncooperative or flees. Note the time, date, and exact location. Get contact details from any bystanders or witnesses. Photograph any CCTV cameras in the area. File a police report immediately — do not delay.
  6. File a police report (Laporan Polis) within 24 hours. Go to the nearest traffic police station (IPD — Ibu Pejabat Daerah) and file a report. This is MANDATORY for any damage claim — even if both parties agree informally. Without a police report, your insurer will not process the claim.

Scenario B: Making the Insurance Claim

  1. Notify your insurer within 24 hours. Most policies require "immediate notice" of any accident. Call your insurer's hotline as soon as possible — even before you decide which type of claim to make. Late notification can give the insurer grounds to reduce or reject your claim.
  2. Decide: OD claim or TP claim? If you are clearly at fault, use an OD claim (against your policy). If the other party is clearly at fault, use a TP claim (against their insurer). If liability is disputed, you may need to use OD first, then recover from the TP insurer later. See the comparison table below.
  3. Send your car to a workshop. For OD claims, use a panel workshop (Bengkel Panel) approved by your insurer — this is the smoothest path. For TP claims, you may send to any workshop, but get quotes from two or three places. Inform the workshop you are making an insurance claim.
  4. Workshop submits repair quotation to the insurer. The workshop will assess the damage and submit a repair cost estimate to the relevant insurer (yours for OD, other party's for TP). You do not need to do this yourself.
  5. Insurance adjuster (Penilai) visits to assess the damage. An independent adjuster appointed by the insurer will physically inspect your car and verify the workshop's quotation. They may approve, reduce, or dispute parts of the quotation. This is normal — do not panic.
  6. Adjuster approves repair scope — workshop begins work. Once the adjuster signs off, the workshop starts repairs. Do not authorise additional work beyond the approved scope without insurer approval, or you may have to pay the difference.
  7. Collect your car and inspect before signing. Before you sign the delivery form (borang serahan), inspect the repairs carefully. Test all functions (lights, air-con, alignment). Once you sign, the claim is considered settled for those repairs.
  8. Follow up if your claim is delayed. If there is no progress after 4 weeks (OD) or 8 weeks (TP), escalate. Contact your insurer in writing. If unresolved, file a complaint with PIAM (General Insurance Association of Malaysia) or use BNM's BNMLINK portal for dispute resolution.

OD Claim vs TP Claim — Comparison

OD Claim (Own Damage) TP Claim (Third Party)
Claimed against Your own policy Other driver's insurer
Excess (Bayaran Lebih) RM400 standard (higher for certain named driver exclusions) None — no excess for TP claims
NCD Impact NCD drops at renewal (e.g. 55% → 0% if first claim) NCD preserved if purely TP claim with no OD involvement
Speed Faster — typically 1–4 weeks Slower — typically 4–12 weeks; longer if liability disputed
Workshop choice Panel workshop strongly recommended; non-panel needs prior insurer approval Any workshop; notify insurer first
Best when You are at fault, or other party is uninsured Other party is clearly at fault and has valid insurance
MGTF (Roadtax + compulsory TP) Covers third party bodily injury only; your own damage NOT covered under MGTF Covers third party property damage if they have a comprehensive policy
Do the maths before you claim OD. If your repair cost is less than your excess (RM400) plus the NCD you would lose at renewal, you may be better off paying out of pocket. Example: if you have 55% NCD on a RM2,000/year premium, losing that NCD costs you RM1,100 extra per year. A RM600 repair claim may not be worth it.

When Is a Police Report Required?

Situation Police Report Required?
Any damage — you want to make an insurance claim Yes — always required by insurers
Hit-and-run (other party fled) Yes — mandatory
Injuries to any party Yes — mandatory
Disputed liability Yes — strongly recommended
Third party property damage (walls, fences, other vehicles) Yes — required for any civil claim
Minor scrape, both parties agree to settle privately Technically optional, but recommended

Documents Checklist

NCD (No Claims Discount / Diskaun Tanpa Tuntutan)

Your NCD rewards you for claim-free years with a discount on your premium. Making an OD claim resets your NCD. Here is how NCD accumulates:

Consecutive Claim-Free Years NCD Rate
1 year 25%
2 years 30%
3 years 38.33%
4 years 45%
5 or more years 55%

NCD is attached to the car owner (not the car). If you change vehicles, your NCD transfers. A 55% NCD on a RM3,000 base premium saves you RM1,650 per year — worth protecting.

Pro Tips

Panel vs non-panel workshops

For OD claims, using a panel workshop (Bengkel Panel) is strongly recommended. Panel workshops have pre-negotiated rates with your insurer, which means faster adjuster approvals and fewer disputes. Using a non-panel workshop for an OD claim requires you to obtain insurer approval first — otherwise they may only pay standard panel rates, leaving you to cover the difference.

When to pay out of pocket instead of claiming

Do the full calculation before making an OD claim. Add up: your excess (RM400) + the NCD premium increase at next renewal. If that total exceeds the repair cost, pay out of pocket and preserve your NCD. This is especially true for small dents, scratches, and mirror replacements.

Uninsured driver? File with MIB

If the other party has no valid insurance (or fled the scene without identification), you can still make a TP claim through the Motor Insurers' Bureau of Malaysia (MIB) at mib.com.my. MIB exists specifically to compensate victims of accidents involving uninsured or untraced (hit-and-run) drivers. You will need a police report and your own vehicle insurance to be in order.

Document everything via WhatsApp

Send key photos to yourself on WhatsApp immediately after the accident. WhatsApp timestamps and geotags photos, and courts in Malaysia accept this as supporting evidence. Back up to cloud as well.

Keep your police report number

Your Laporan Polis reference number is required at every subsequent step — workshop, adjuster, insurer hotline, PIAM complaint. Write it down and keep it somewhere you will not lose it.

Betterment charges (Caj Kemajuan)

If your insurer fits new parts on an old car, they may charge you a "betterment" percentage — essentially your contribution for the improvement in your car's condition. This is legal and industry-standard in Malaysia. For a 10-year-old car getting a new bumper, expect to contribute 10–30% of the part cost. Ask your insurer for their betterment schedule upfront.

Malay Terms Reference

English Bahasa Malaysia
Insurance claim Tuntutan insurans
Car insurance Insurans kenderaan
Police report Laporan polis
Excess / deductible Bayaran lebih
Panel workshop Bengkel panel
Insurance adjuster Penilai insurans
No Claims Discount Diskaun tanpa tuntutan

Key Links

Frequently Asked Questions

What exactly is an excess (bayaran lebih)?
The excess is the fixed amount you must pay out of your own pocket when making an OD (Own Damage) claim. The standard excess in Malaysia is RM400. If your policy excludes certain named drivers (e.g. drivers under 21, or unnamed drivers), the excess can be significantly higher — sometimes RM400 plus an additional loading per unnamed driver. Check your policy schedule for the exact figure.
What happens if the other driver has no insurance?
You can file a TP claim with the Motor Insurers' Bureau of Malaysia (MIB) at mib.com.my. MIB is a statutory body obligated to compensate victims of accidents caused by uninsured or untraced (hit-and-run) drivers. You will need a police report, your own vehicle insurance documents, and evidence of the accident. MIB claims can take longer than standard TP claims but they do pay.
Will my premium go up after I make a claim?
Yes — if you make an OD claim, your NCD resets. A driver who has built up 55% NCD and makes a claim will lose all of that NCD. On a RM2,500/year base premium, that means your renewal premium could jump from RM1,125 (with 55% NCD) to RM2,500 (with 0% NCD) — an increase of RM1,375/year. You need to weigh this against the repair cost before deciding to claim.
Can I choose my own workshop?
For TP claims (against the other party's insurer), yes — you can use any workshop, though you should notify the insurer first. For OD claims (against your own policy), using a non-panel workshop requires prior insurer approval. Without approval, your insurer will only pay panel-equivalent rates and you cover the remainder. Check with your insurer before authorising any work.
How long does a car insurance claim take in Malaysia?
OD claims typically take 2–4 weeks from workshop assessment to car collection. TP claims typically take 4–8 weeks, and can stretch to 12+ weeks if liability is disputed. If you have not heard anything after 4 weeks (OD) or 8 weeks (TP), escalate in writing to your insurer. If still no response, file a complaint with PIAM or BNMLINK.
I was hit while my car was parked. Whose insurer do I claim from?
If you know who hit your car, file a TP claim against their insurer — no excess, NCD preserved. If the other vehicle fled and you cannot identify them, you have two options: make an OD claim against your own policy (subject to excess and NCD loss), or file with MIB if the damage is significant and you have evidence (photos, CCTV). Always file a police report either way.

Related Guides

Buying a Car in Malaysia
Insurance when purchasing a new or used vehicle
 Replacing Your MyKad
If your IC was lost or damaged in the accident
 Getting a Driving Licence
P licence, PDL, JPJ requirements

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⚠ Disclaimer: This guide is for informational purposes only. Insurance policy terms vary between insurers and individual policies. Fees, excess amounts, and procedures can change. Always verify with your own insurer and read your policy schedule carefully. Nothing in this guide constitutes legal or insurance advice. Last reviewed: March 2026.