Why the COE date matters more than the year of make
Every car on Singapore roads needs a Certificate of Entitlement (COE). It gives the right to own and use the car for a fixed term. When the term ends, the owner either renews it or takes the car off the road.
On a used car, a large part of the asking price pays for the COE time that is left. Two cars of the same model can carry very different prices. One may have years of COE left and the other only months. Before you pay a deposit, find out the exact COE expiry date. Read it from the vehicle's records, not from the advert.
What a new COE costs today
The latest bidding round gives a sense of scale. In the October 2026, 2nd round, Category A closed at S$132,004 and Category B at S$131,901. Category E, the open category, closed at S$135,790. The site's COE page lists these results. It updates after each round, and LTA runs bidding twice a month.
These are prices for a brand-new COE on a new car. They are not the value of the COE on a used car. But they show why the time left on a used car's COE carries real money.
Work out the monthly cost of the car
A simple way to compare used cars is to spread the cost over the COE time left. Use three numbers:
- The price you pay, including any fees the seller adds.
- What you would get back if you deregister the car at COE expiry. This depends on rebates set under LTA's rules.
- The months of COE left.
Take the price, subtract what you would get back, and divide by the months left. The answer is a rough monthly cost of owning the car. It comes before road tax, insurance, fuel and repairs. Do the same sum for each car on your shortlist. A car with a lower asking price can work out dearer per month if its COE runs out soon.
The rebate rules matter here. A deregistered car may return a Preferential Additional Registration Fee (PARF) rebate and a COE rebate for unused time. LTA sets the amounts and who qualifies. This article does not give the rates. Check them on LTA's OneMotoring site for the specific car before you rely on them in your sum.
Checklist before you pay a deposit
- The exact COE expiry date, in day, month and year.
- Whether the COE has already been renewed. A renewed COE can change what you can claim back.
- The COE category the car was registered under.
- Whether the car is PARF-eligible, and what rebate OneMotoring shows.
- The road tax expiry date and whether it is paid up. See road tax.
- Any outstanding loan on the car, and who must clear it at transfer.
- The current insurance, and when it ends.
Ask the seller for documents on each point. If an answer is vague, ask again before you hand over money.
When the COE runs out: renew or deregister
At expiry, the owner has two main choices.
Renew the COE
Renewing means paying to extend the COE for a further term. The terms on offer and how the fee is worked out are LTA rules. They are not covered here, so check OneMotoring for the current method. Renewing can also change the rebates the car can return later. Weigh this before you commit.
Some owners renew because they know the car's history and want to keep it. Renewing also means insuring an older car, which the next sections cover.
Deregister
Deregistering takes the car off the road. The owner may then scrap or export it, and may receive whatever rebates the rules allow. After that, the owner can bid for a new COE on another car, or buy a used one.
If you buy a used car with little COE left, you are buying this decision too. Think early about which way you lean. It changes how much the car is worth to you.
How insurance changes as the car ages
Insurers price a car partly by its age. The site's page on older car insurance shows this for a Toyota Corolla Altis 1.6. The driver in that example is aged 40, with 10 years' driving and a 50% no-claim discount, using an authorised workshop. Prices are as of 24 October 2026 and include GST.
The lowest comprehensive price in that check moved like this:
- New car: S$660.69
- 10 years old: S$569.36, priced by 14 insurers
- 11 years old: S$608.20, priced by 12 insurers
- 15 years old: S$718.79, priced by 12 insurers
- 16 years old: S$869.48, priced by 4 insurers
- 20 years old: S$872.48, priced by 3 insurers
The lowest price fell over the first ten years, then rose. The bigger change is the number of insurers. Many price comprehensive cover online only for cars up to 10 or 15 years old. After that, the choice narrows sharply.
Comprehensive or third party on a renewed car
Owners of cars past their first COE term often look at third party, fire and theft cover. In the same check, a 16-year-old Corolla Altis was priced from S$589.18 for third party, fire and theft, by 8 insurers. Comprehensive started at S$869.48, from 4 insurers.
Comprehensive pays for damage to your own car, but only up to its market value. On an old car, that value can be low. The extra premium for comprehensive can be more than the car would fetch. That is why many owners of older cars switch to third party, fire and theft. Compare the price gap with what the car is worth.
Also check the excess on each quote. A lower premium with a high excess may not suit an old car you plan to keep.
Your no-claim discount moves with you
Your no-claim discount (NCD) belongs to you, not the car. It moves with you to a used car and to a new insurer. Have your latest renewal notice ready when you ask for quotes. See how the no-claim discount works.
The COE premium is not one of the questions insurers ask online. Their prices depend on the model, its age, the main driver, the NCD and the cover chosen. So two cars with different COE values can cost about the same to insure if the model and age match. You can see prices by model, such as the Toyota Corolla Altis, or compare quotes for the exact car.
Questions to ask before you sign
- How many months of COE are left, to the day?
- Has the COE been renewed before?
- What rebate does OneMotoring show if the car is deregistered at expiry?
- How is the renewal fee worked out today, according to OneMotoring?
- Will the car still be insurable with comprehensive cover online at its age when the COE ends?
- Is road tax paid up, and to when?
Car insurance through Shenton Brokers
Before you drive off or renew, get your car insurance through Shenton Brokers. See which cars cost least to insure, or look up your own model's prices from every insurer we compare. Or get a quote with your own details.