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How Much Does It Cost to NOT Get Stopped at Roadblocks?

Updated 07 Jan 2019 – By Caitlyn Ng


When it comes to being out on the road, please don’t play-play! Why? Firstly, whether you’re in a car or on a motorcycle, one wrong move could prove to have terrible consequences or even fatal. We’ve already talked at great lengths about what to do if there’s an accident between a car and a motorcycle, or even if someone were to hit your parked car and ran off.

Secondly, you've heard of the stealth powers of police roadblocks that spring up suddenly, haven't you? Your heart will beat faster at the sight of the men in blue, and you're praying that you won't get pulled over for questioning. But as long as you have your THREE necessary legal documents in order, then you've got nothing to fear!

If you've no idea what we're referring to, then you'd better read on. From the driver’s licence to the insurance and the road tax, here’s a simple pricing guide we’ve compiled for you to refer to. Without further ado, let’s begin!
 

If you’re going to be a car driver, here’s what you’ll need.

1) Driver’s licence



The most important thing to have on you at all times, it’ll show the police at surprise roadblocks that you’re legit! All jokes aside, a driver’s licence would mean that you’ve attended all the necessary classes and gotten the required trainings for you to be legally capable of operating a vehicle, without posing a risk to others on the road.
 
The cost of getting one would depend on a few factors, namely what package you’ll be choosing and which company you’ll sign up with.
 
  • If you choose the SM Rakyat Driving School, the basic package for you to get a driver’s licence (manual) would cost RM1,400. It includes the theoretical classes (including books), theory exam, learner licence, practical lessons for both circuit and on-road, usage of vehicle as well as test fees.
  • If you choose the Metro Driving Academy, they only offer the “Until Pass Package” which will cost you RM2,500. Apart from the basics, you’ll also be getting transportation to and from selected pick-up points, unlimited retesting for the final JPJ Practical Test, food and drinks throughout the course, as well as a RM20,000 personal accident insurance coverage.
So it all boils down to your personal preference: whether you’d like just the bare necessities, or with all the extra frills thrown in.

2) Car insurance



Yes, having a form of protection for yourself is a good move, but what about protection for your vehicle? If you’ve never been in an accident so bad that half your car is barely recognisable, then good for you! However, you never know when the unexpected might strike, and you’re left with a massive repair bill that burns through most of your savings.
 
“You must have a valid insurance coverage because it means you and the other road users are protected (especially in the event of an accident involving severe damage or death),” said lawyer C.V. Devan.
 
It’s important to note that there’s actually no such thing as a one-size-fits-all price, ever since the detariffication of motor insurance premium. There are actually a few major factors that’ll affect the amount you’ll have to pay. For example, the location, age and gender of driver, as well as the type of coverage (Third Party Coverage; Third Party, Fire and Theft; Comprehensive Coverage).
 
Most importantly though, is your driving record. If you’re a safe driver and never make any claims on your insurance within a year or more, you’ll get what is known as a No-Claim Discount (NCD). The rates are set by Persatuan Insurans Am Malaysia (PIAM) and are capped at 55%, as the table below shows:
 
Period of insurance Private car
After first year 25%
After second year 30%
After third year 38.33%
After fourth year 45%
After fifth year 55%
Sixth year onwards 55%

Basically, before you sign up for an insurance policy, make sure you do all the necessary research and shop around to get the RIGHT car insurance plan for you, or you'll quickly be broke if you aren't properly covered - imagine your car getting stuck in a massive flood like the KLCC tunnel incident back in November! So why not use Loanstreet's latest car insurance tool to get the quotations right at your fingertips?

3) Road tax



“There are only two things in life that are certain: death and taxes,” said Benjamin Franklin. So here’s a table of the road tax you’re required to pay if you don’t want your a** to kena saman by abang polis.
 
Engine capacity (cc) Base rate Progressive rate (per cc) Total tax payable
1,000 and below RM20 - RM20
1,001 to 1,200 RM55 - RM55
1,201 to 1,400 RM70 - RM70
1,401 to 1,600 RM90 - RM90
1,601 to 1,800 RM200 RM0.40 RM200.40 to RM280
1,801 to 2,000 RM280 RM0.50 RM280.50 to RM380
2,001 to 2,500 RM380 RM1 RM381 to RM880
2,501 to 3,000 RM880 RM2.50 RM882.50 to RM2,130
3,001 and above RM2,130 RM4.50 RM2,134.50 and above

By law, every driver is required to get both insurance and road tax at the same time, so there’s no running away by only choosing one. It's an annual thing you have to do, you can do so via two methods. One is manually, where you either go on your own to the post office that offers such a service (no need to go all the way to the JPJ office liao), or you pay a 'runner' to do it for you.

Two, do it online lah! You can opt to go through the MyEG website or through Loanstreet. Yes, we not only provide the car insurance service, but the option to buy your road tax at the same time! You can now drive in peace, you're welcome.
 

If you’re going to be a motorcycle rider, here’s what you’ll need.

1) Rider’s licence

The same reasons apply here as to why a rider’s licence is so vital to have on you at all times: to prove that you’re legit, and that you’re fully qualified to be able to handle yourself and your two-wheeler on the roads. Now let’s look at the cost involved:
 
  • If you choose to sign up for a package with SM Rakyat Driving School, the cost would be RM1,000 for the B2 licence (motorcycle not exceeding 250cc) and RM1,700 for the Full B licence (motorcycle exceeding 500cc, including superbikes). The package includes the practical lessons and the test.
  • If you choose to sign up a package with Metro Driving Academy, the cost would be RM700 for the B2 licence and RM1,300 for the Full B licence, also including the practical lessons and test.

2) Motorcycle insurance

And you'll have to go to jail too.

Still very important to have, a motorcycle insurance is not only necessary to protect you against any losses or damages suffered during an accident, but will keep you from having to go to jail! But how much would you need to insure your motorcycle for? Again, the answer isn’t clear-cut due to the motor insurance detariffication.
 
First off, you’d need to decide on the type of coverage you’d want, which is either Comprehensive or Third Party. This one is straightforward, since it involves the amount of protection that you’d want to be covered for.
 
Then you’d have to choose an “all riders” or “single rider” policy. The former means that apart from the rider himself/herself, any other authorised rider will be covered as well; the latter means that only the rider will be covered.
 
Finally, you need to decide how much to insure your motorcycle for. Here’s a tip to bear in mind: “less is NOT more”! This means that you should always use the market value of your motorcycle as the benchmark, as it will ultimately affect the amount that you’re able to claim in the event of a loss or damage.
 
Use the official website of your motorcycle’s manufacturer to give you an idea of the price if it’s a brand new machine, or various online portals such as Mudah and Motor Trader if it’s secondhand/an older model.

If you're at a loss because you want to buy/renew both your motorcycle insurance and road tax at the same time, then check out Loanstreet's latest motorcycle insurance tool, where you can do both at the same time!


3) Road tax

Last but not least, we have the necessary road tax and it’s a much simpler structure compared to a motor vehicle, according to the table below:
Engine capacity (cc) Total tax payable
0 - 150 RM2
151 - 200 RM30
201 - 250 RM50
251 - 500 RM100
501 - 800 RM250
801 and above RM350
 

It’s your responsibility to be road-ready, for your safety and for others!

According to the Malaysian Institute of Road Safety Research (MIROS), in 2016 there was a total of 521,466 road crashes of which 7,152 cases were fatal. And in 2017, at least two deaths were recorded on average daily due to road accidents. These figures should be a warning that the roads of Malaysia are becoming more dangerous, and it doesn’t help that there’s an unrecorded number of Malaysians on the roads without the proper legal documents.
 
So if you’re reading this with the intention to get all three necessary legal documents, you’re already on the way to becoming a better driver/motorcyclist, and hopefully making the roads that much safer for everyone else!
Continue reading...

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