A New Insurance Rebate Rewards Drivers With Clean Records

Iman Aminuddin

10th June 2026 - 2 min read

Motorists renewing their motor insurance through the MyJPJ app can now enjoy an additional 10% rebate under the new Cermat Madani Programme, announced by Transport Minister Anthony Loke.

The rebate is offered on top of the existing No Claim Discount (NCD), meaning drivers who already enjoy the maximum 55% NCD could potentially receive total discounts of up to 65% on their renewal premiums. Ten insurance companies are participating in the programme, which will be implemented in two phases.

All Drivers Can Enjoy the Rebate Until September

From 9 June to 9 September 2026, all motorists who renew their motor insurance through the MyJPJ app will automatically qualify for the additional 10% rebate. During this introductory period, eligibility is not tied to a driver’s traffic offence record. The three-month window is intended to encourage more motorists to use the MyJPJ app for their insurance and road tax renewals.

Driving (and Parking) Behaviour Being Measured

Starting 10 September 2026, eligibility for the rebate will be determined using an AI-powered risk assessment system. The system will evaluate drivers based on records obtained from the Road Transport Department (JPJ) and the Royal Malaysia Police (PDRM), generating a risk score during the insurance renewal process. Motorists’ personal data will remain protected throughout the assessment process.

Only JPJ and PDRM summonses will be taken into account. Summonses issued by local councils will not affect a driver’s eligibility for the rebate. There is also no fixed number of summonses that automatically disqualifies a motorist. Participating insurers will assess each driver’s overall risk profile and determine the level of discount offered.

What This Means For Motorists

For now, motorists due to renew their motor insurance can enjoy the additional 10% rebate simply by using the MyJPJ app between 9 June and 9 September 2026.

In the longer term, the programme aims to create a stronger link between driving behaviour and insurance pricing. Previously, insurers had limited access to traffic offence records, making it difficult to reward safer drivers other than through the existing NCD framework. Loke also noted that the initiative could eventually lead to lower insurance premiums for consistently safe drivers, not just renewal discounts.

If your renewal is coming up, check whether your insurer is participating and compare quotes before renewing, as premiums can still vary between insurers even after discounts are applied.

Iman Aminuddin

Iman writes about personal finance with curiosity. She is interested in the stories behind money, the hesitation around big decisions, and the small habits that shape financial futures. Off the clock, she is either dissecting a film or climbing her way up the leaderboard in her favourite games.

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