Why Monthly Payment Is Becoming More Popular
Let’s be real, car insurance isn’t cheap.
With rising repair costs, inflation, and more advanced vehicle tech, premiums have been increasing. Paying everything upfront can feel like a hit, especially during peak months (road tax renewal, festive spending, etc.).
That’s why more Malaysians are searching for:
Buy Now Pay Later (BNPL) solutions
Ways to reduce immediate financial pressure
Before You Think About instalments, Start with Smarter Savings
Before splitting your payments, it’s worth reducing the total cost first.
This is where PolicyStreet’s Drive+ membership comes in. Drive+ is PolicyStreet’s car-owner membership program created to help Malaysians save money and reduce hassle when renewing car insurance and road tax online.
When renewing your car insurance with PolicyStreet, you can choose from three Drive+ membership tiers, starting from RM39.90, depending on how much you want to save.
Each Drive+ tier gives you a road tax discount every year:
Drive+ Lite: Up to RM50 off
Drive+ Standard: Up to RM90 off
Drive+ Premium: Up to RM120 off
Higher tiers offer bigger savings, making them especially worthwhile for drivers with higher road tax amounts.
Beyond road tax discounts, Drive+ members enjoy exclusive renewal discounts when using Atome or EPP payment options for car insurance. Members also benefit from waived road tax processing fees and access to exclusive member vouchers and perks. These benefits help drivers reduce upfront costs, avoid extra fees, and manage rising car expenses more effectively.
In short, Drive+ turns a routine insurance and road tax renewal into a smarter, more affordable car ownership experience.
Drive+ Membership Tiers and Bateriku Benefits
Beyond the headline savings, Drive+ comes with practical perks that make everyday car ownership easier.
One standout benefit is the RM40 Bateriku voucher you receive with every Drive+ renewal. This voucher can be used for car battery replacements through Bateriku, Malaysia’s on-demand battery service.
Typically, the RM40 value is structured as:
RM20 off a new battery
RM20 trade-in rebate
You can redeem it via the Bateriku app or at selected Bateriku service points. Drive+ vouchers can also be stacked with Bateriku promo codes available on their app or website (such as seasonal campaigns like CUTI40, subject to terms and conditions).
If your battery is due for a replacement, this perk alone can deliver real, immediate savings, not just discounts on paper.
So, How Do Instalment Payments Work?
Since insurers don’t usually offer monthly billing directly, instalment options typically come from third-party payment solutions.
These include:
Credit card instalment plans
Buy Now Pay Later (BNPL) services
One example is SPayLater, which allows eligible users to:
Split payments into multiple months
Manage cash flow more comfortably
Avoid paying everything upfront
Note: You’re still buying a full-year policy, just paying for it over time.
Is It a Good Idea to Pay in Instalments?
It depends on your situation.
When it makes sense:
You want to preserve cash flow
You have other financial commitments
You prefer spreading out large expenses
What to watch out for:
Possible service or processing fees
Overspending due to “smaller” monthly amount
MIssing payments (which may incur penalties)
Note: The key is to treat it as a financial tool, not free money.
What About “Monthly Car Insurance” Plans?
You might have seen this term online, but here’s the reality:
In Malaysia, true monthly-based car insurance is still very limited.
Some niche or usage-based models exist globally, but not locally:
Most drivers are still on annual policies
Instalments does NOT mean monthly insurance
When you see “monthly car insurance” it actually means instalments payments, not a monthly policy.
How to Choose the Right Option
If you’re considering instalments, here’s a quick checklist:
Compare total cost (with and without instalments)
Check for hidden fees (platform fees, interest)
Understand the repayment schedule
Make sure it fits your monthly budget
And before all that:
Lower your road tax cost first through PolicyStreet’s Drive+ membership.
Flexible Payments, Same Responsibility
Instalment options are making car insurance more accessible, but they don’t change one thing:
You’re still responsible for a full-year policy.
Whether you pay upfront or monthly, what matters most is:
Managing your finances wisely
So yes, you can pay in instalments, just make sure you’re doing it strategically.
Frequently Asked Questions
1. Can you pay car insurance monthly in Malaysia?
Traditionally, car insurance in Malaysia is paid in one lump sum. However, some platforms now offer instalment options through Buy Now, Pay Later (BNPL) services like SPayLater.
This allows you to split your premium into smaller monthly payments, making it more manageable without delaying your renewal.
2. Is paying car insurance in instalments more expensive?
It can be slightly more expensive depending on the provider or BNPL services used. Some installment plans may include processing fees or interest, while others offer promotional zero-interest periods.
It is important to compare the total cost before committing, so you know exactly what you’re paying over time.
3. Who is eligible for monthly car insurance payment plans?
Eligibility usually depends on the BNPL provider, such as SPayLater.
You’ll typically need:
A verified account
Good repayment history
Sufficient spending limit
Approval is usually quick, making it a convenient option for drivers who want flexibility without upfront financial strain.
4. What happens if I miss a monthly instalment for my car insurance?
If you miss a monthly instalment, your coverage could be at risk depending on your payment provider. For plan offered via Buy Now Pay Later (BNPL) services or credit facilities, missed payment may result in late fees, suspension of the instalment plan, or impact your credit profile. In some cases, your insurance policy could be affected if payments are not completed. It is important to stay on schedule or contact your provider early if you anticipate delays.
