What kind of car insurance in the Philippines fit you the most?

Updated Oct 13, 2020

Know what’s best for your car and where to get a good coverage.

Better Safe than Sorry

I have always been a type of person who is very practical to the point of procrastinating important things just to save some money. As a single person a while back, I was the type who practiced the ‘bahala na’ system, something which is typical in the Philippines.

Having to work for an auto shop for two and a half years, I have seen tremendous damages to cars brought about by accidents. There was one time when there was a vehicle towed to our shop and almost the entire front of the vehicle was crushed, seemingly irreparable – but our shop did it successfully anyway. I then realized that there are really some things that cannot be solved by a ‘bahala na’ mindset. Que sera, sera will definitely not work in accidents like that. So, every car owner should be prepared – as mentioned too many times before, no matter how careful you are on the road, if there’s someone reckless coming your way, you are not at all safe.

car damaged after accident

Sometimes we can't really prevent accidents, it just happens

Your car is an investment, you have exerted a lot of prudence just to tick it off your bucket list. If you invested money on to something, you have to make sure that it is protected in case a misfortune happens. If people can acquire car insurance, you can also get one for your car.

>>> Check out more driving tips and advice on Philkotse.com

1. Why Should I Get an Insurance For My Car?

I know this may sound as a no-brainer, but sometimes we tend to forget why we should spend a generous amount of money to get our car covered. Let Philkotse.com remind you of this.

1.1. It is Mandatory

Whenever you renew your plate, getting the simplest form of insurance is always a part of it. You won’t get out of the LTO office without getting the CTPL insurance, which is the very basic of all kinds of car insurance that comes with very little coverage too.

1.2. Coverage For Property Damage

Since accidents almost always involve two parties, having an insurance provides financial protection to you and the other party’s damaged vehicle. It doesn’t only cover vehicles, but it could also provide coverage for other people and properties involved.

Not being ready means more money out of your pockets

1.3. Helps in Expenses

If you have paid for your insurance, and you have good insurance coverage, then when an unfortunate time of accident comes, you don’t have to shed money anymore because your insurance has got you covered.

1.4. Besides accidents, it can also cover other things

In case your car got stolen or caught in fire and you got a kind of insurance that can cover these things, then you have nothing to worry about.

1.5. Having insurance gives you peace of mind

Now, it acceptable to say, ‘que sera, sera’. This is because you have the peace of mind that no matter what happens, your vehicle is covered. Nothing beats the feeling of being at ease. But please, still exercise caution when driving – it is still better to be alive and well and not going through any accidents.

Now we know the importance of having a car insurance, let’s look into the types of insurance that you can choose from and what coverage they can provide you with.

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2. Types of Insurance and Their Coverage

2.1. TPL (Compulsory Third Party Liability) Insurance

As mentioned earlier, this is the most basic type of car insurance. This is the type required by law upon vehicle registration. It provides coverage for the injuries incurred to the unfortunate people who were dragged into the accident. Your personal injuries are also covered under this insurance. The downside of this type though is that it does not cover damage to properties for both your car and the other party’s as well.

Compulsory Third Party Liability Insurance

Basic Insurance, basic coverage

The coverage amount goes from as low as Php 10,000 – Php 100,000 depending on what’s included in the policy. The downside of it is it doesn’t cover damage to properties. You can get it from the Land Transportation Office within the price range of approximately Php 900 – Php 2000.00 depending on the type of vehicle you own.

2.2. Third Party Fire and Theft Insurance

insurance will work best for those car owners who don’t have a gated parking for their car and they are forced to park their vehicle out on the streets. If your car is stolen, this type of insurance is sure to cover your vehicle. Worst case scenario, if your car has caught fire this also the type of insurance to go to. Evaluate your circumstances to check if this is the most suitable type of insurance for your vehicle.

Car damaged by fire

Car damaged by fire

To file for a claim, you need to have certain documents such as the police report. When your vehicle is under those two circumstances, call your insurance provider right away, the sooner they know the better.

2.3. Comprehensive Car Insurance

Probably the best car insurance you can get for your vehicle. Most car owners buy this on top of their CTPL insurance to gain more coverage such as the personal accident, roadside assistance, hospital expenses and even vandalism. This works like a customizable insurance where you can just add more benefits that you think would be necessary to protect your car. Normally, this insurance is opted by people who have luxury cars or if you consider your car as an investment. There are insurance providers that can give you options for add-ons that include acts of nature, personal accident, and roadside assistance.

Comprehensive car insurance

Pricier with more coverage

Acts of nature is defined as damages incurred on your vehicle by forces of nature that include typhoon or earthquakes. On the other hand, roadside assistance is a good add-on that includes a special hotline number to call should you need any help during roadside breakdowns and accidents.

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2.4. Third Party Property Damage Insurance

So this type of insurance is the second cheapest insurance after CTPL. If CTPL covers only the injuries incurred during the accident, this insurance covers the damage to the third party’s vehicle. Unfortunately, this insurance does not cover damages to your own car.

Now, assess your car and your circumstances so you would know which car insurance would best fit your needs. But if you will ask me, I would suggest investing in a comprehensive car insurance so you won’t have to worry for possible expenses in case you get involved in an accident.

All of this information can be useful, but we all prefer to be always safe and sound. Although sometimes unavoidable, just do your best and always be a responsible driver to avoid accidents.

Ivy Kristia Padura

Ivy Kristia Padura


Ivy is one of the first Philkotse's content writers. She finds joy in sharing her driving tips, particular for dealing with heavy traffic in Metro Manila, with other fellow drivers.

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