Vehicle Insurance in Taiwan

General information on taking out an insurance policy in Taiwan, with comprehensive details on insuring a vehicle (options from third party to all risks) and making a claim...

It is a legal requirement in Taiwan for all drivers to have third party liability insurance. Any further cover is taken at an individual’s discretion. The compulsory insurance provides people with basic protection for injury, dismemberment, disablement and loss of life in traffic accidents. The insurance can be arranged through companies which have been approved by the Ministry of Finance, which oversees the system. All vehicles, cars and scooters, must be sold with valid third party liability insurance in effect.

The coverage provided by the compulsory insurance, which is known as Compulsory Automobile Liability Insurance, is quite basic compared to that required in many other countries and many drivers choose to purchase additional coverage. Additional insurance can be purchased to cover damage to property, for example other vehicles involved in an accident, to cover medical expenses, theft and collision.

  • For information about the Compulsory Automobile Liability Insurance: Click here

Insurance companies in Taiwan calculate the amount of the insurance premiums based on three factors:

  • Driver's age
  • Gender
  • Claim records

Insurance Claims and Compensation

In the event of an accident that doesn’t involve fatalities or significant injuries, those involved can agree compensation or settlements for any damage done to the vehicles involved between them. However, it is advisable to contact the insurance provider immediately after the accident.

If no agreement is reached, the case can be taken to the arbitration committee of the district administration of local government for mediation. Civil litigation at a district court is also possible.