Singapore is known to be an expensive city, and it's no wonder that car prices here are one of the highest in the world. The alternative to travel with convenience would be to rent a car, be it short term or long term to cater to your needs.
How should I start looking for car leasing?
Before you decide which car you want to rent, you should think about what you need the car for and your budget for rental.
1. What type of vehicle do you need?
Are you looking for a SUV, a luxury car or just a simple commercial vehicle to take you to work?
2. Motor Insurance
Most car rental companies offer comprehensive insurance coverage. You can either stick with the basic coverage or pay for a more holistic coverage which includes Loss Damage Waiver (LDW) or Collision Damage Waiver (CDW).
The Loss Damage Waiver protects the car renter should the car become damaged from an accident or from other ways, such as vandalism. Without this coverage it is possible that the renter could be responsible for several hundred dollars in payment or for loss-of-use costs. On the other hand, the Collision Damage Waiver helps to pay for any damages to your rented vehicle caused by an accident where you are at fault. Car renters are strongly encouraged to take up a more comprehensive insurance, especially if you are not too familiar with the country you are driving in.
3. Where are you using the car?
If you are looking to rent a car so that you can drive up north to Malaysia, you will need to check with the car leasing company first. Some of these companies only rent their cars for use locally only, so this is an important criteria for you to filter down your car search!
The monthly leasing rate includes the value of the car for your leasing period and all payable taxes. Listed below is the breakdown of the costs:
- Unlimited mileage
- Servicing & mechanical maintenance program
- Commercial insurance coverage
- COE, Road tax, Radio License
- Towing service
To give you an idea, mid-range cars (such as Toyota Vios or Suzuki Swift) can cost between $1,200 to $1,800 a month, while higher-end cars can go up to around $3,600 per month.
With a budget in mind and a clearer idea of what type of car you want to rent, you can now compare the offers from car rental websites and check out some of their reviews before making your choice.