Terms and Conditions for New Enhanced benefits for AIG Auto Insurance Policyholders
From 1 March 2017, AIG Asia Pacific Insurance Pte. Ltd. (“AIG”) will provide its Auto insurance policyholders with two
enhanced benefits, namely, Unlimited Loss of Use and Extended New for Old Replacement. Please refer to the details
below for the terms and conditions.
Enhanced Benefit 1: Unlimited Loss of Use
Previous benefit in a nutshell: Replacement vehicle available for a maximum of 15 days when your Vehicle sustains
damage covered under Section I of your Policy.
Your enhanced benefit: We will provide you with a replacement vehicle for the repair period certified by our authorised
surveyor when your Vehicle sustains damage covered under Section I of your Policy. You will have unlimited access to a
replacement vehicle for as long as your Vehicle is under repair unless your Vehicle becomes a total loss or constructive total
loss, in which case we will provide you with a replacement vehicle for a maximum of 30 days in a single policy period . The
replacement vehicle will be supplied by our approved car rental company and is strictly for your use only.
This enhanced benefit does not apply to (a) motorcycles, (b) commercial vehicles, (c) high value vehicles and (d) vehicles
insured under AIG’s AutoValue policy.
Enhanced Benefit 2: Extended New for Old Replacement (for 36 months)
Previous benefit in a nutshell: New for Old Replacement applies to your Vehicle only within the first 12 months of its
registration, if it is determined by us to be a total loss or constructive total loss as a result of an accidental collision or
overturning covered under Section I, 1.1(a) of your Policy.
Your enhanced benefit: We now offer you New for Old Replacement within 36 months of your Vehicle’s first registration if
your Vehicle is determined by us to be a total loss or a constructive total loss as a result of an accidental collision or
overturning covered under Section I, 1.1(a) of your Policy. In such a case, we will, at our sole discretion, either pay such
cash equivalent as shall be assessed by us, or, provide a replacement vehicle of the same make and model (if available) or
an equivalent model that may be available in the market at that material time, provided that:
a.
the Vehicle had been owned by you for less than 36 months from the date of first registration, at the time of loss;
b.
total loss or constructive total loss shall be determined by us, based on the assessment of our Authorised
Repairers. Such determination of total loss by us shall be final and conclusive;
c.
you were present in Singapore at the material time and had the requisite capacity to purchase and register the new
vehicle under your name;
d.
you are not or have not been in the past, disqualified and/or suspended from driving;
e.
the rebates arising from the Certificate of Entitlement (COE) and Preferential Additional Registration fee (PARF) of
your Vehicle shall be utilised for our benefit and you shall co- operate with us to obtain the rebates from the relevant
authorities;
f.
we do not guarantee that a COE for the new vehicle will or can be obtained. If you are unsuccessful after the first
bid for the COE, we may, at our sole discretion, pay the published first successful bid price for that particular COE tender;
g.
we are not obliged to provide any insurance for the new vehicle. If, we deem that any insurances can be provided,
it shall be subject to our underwriting of the risk and revision of premiums (if applicable); and
h.
the accidental collision or overturning of your Vehicle is not a result of any Acts of God (as defined under Inclusion
of Special Perils).
If Hire and Purchase clause is applicable to your policy, and we deem it appropriate to pay the cash equivalent for the loss,
the Hire Purchase Owners or the Finance Company shall be paid such amount or amounts as may be owing and payable to
them and the remaining balances (if any) shall be paid to you.
Your Vehicle shall be deemed to be a constructive total loss if, at the time of such loss or damage, the cost of repairs
exceed the prevailing market value of the Vehicle, or the prevailing published selling price of a replacement vehicle of the
same make and model (whichever is higher) less its salvage value.
The maximum amount we shall be liable to pay under this benefit if we deem it appropriate to replace your Vehicle with a
new vehicle shall be:
a)
the original purchase price of the new vehicle with standard fitted accessories as may have been listed by the sole
distributor in Singapore appointed by the manufacturer of your Vehicle, less any discounts in the event that a new Vehicle of
the same make and model is available for purchase in Singapore (road tax and insurance payments excluded); or
b)
if, a new vehicle of the same make and model is unavailable in Singapore, at the time of the loss or damage, the
original purchase price paid by you at the time of your purchase of the vehicle.
This enhanced benefit does not apply to (a) motorcycles, (b) commercial vehicles, (c) high value vehicles and (d) vehicles
insured under AIG’s AutoValue policy.
Important notes:





The Loss of Use benefit wording set out in your AIG Auto policy wording is deleted in its entirety and replaced with
the wording in Enhanced Benefit 1: Unlimited Loss of Use above.
The New For Old Replacement benefit wording set out in your AIG Auto policy wording is deleted in its entirety and
replaced with the wording in Enhanced Benefit 2: Extended New for Old Replacement above.
All other terms and conditions in your AIG Auto policy remain unchanged.
The enhanced benefits do not apply:
(a) to motorcycles,
(b) to commercial vehicles,
(c) to high value vehicles, or
(d) to vehicles insured under AIG’s AutoValue policy
The enhanced Loss of Use benefit does not apply if your AIG Auto policy does not include the Loss of Use benefit.