Every car in Singapore runs on a Certificate of Entitlement (COE). When the COE ends, the car cannot stay on the road as it is. You have to decide what happens next. This guide sets out the choices, the order of the steps, and what to do with your insurance and no-claim discount (NCD).
The exact rules, fees, rebates and deadlines are set by LTA. They are not repeated here. Check each one on LTA's OneMotoring site before you act.
What happens when a COE runs out
A COE gives a car the right to be registered and used on Singapore roads for a fixed period. Your COE expiry date is in your vehicle records on OneMotoring.
When that date arrives, the car must either have a renewed COE or be taken off the register. Using a car on the road after its COE has expired is not allowed. Check OneMotoring for the exact rules and what happens if you miss the date.
Your three choices
At the end of a COE, you have three paths.
- Renew the COE. You pay to extend the COE and keep the car.
- Scrap the car. The car is deregistered and sent to a scrapyard.
- Export the car. The car is deregistered and shipped out of Singapore.
Scrapping and exporting both end the car's registration in Singapore. Depending on the car and its records, you may get rebates back when you deregister. LTA sets these rebates and how they are worked out. OneMotoring shows the amount for your own car.
How renewing a COE works
You do not bid when you renew. You pay a renewal price that LTA sets based on recent bidding results. LTA offers more than one renewal period. The lengths and conditions are on OneMotoring.
Things to check before you renew:
- Look up the renewal price for your car's category on OneMotoring.
- Check which renewal periods you can choose and what each allows afterwards.
- Check any rebate you would give up by renewing instead of deregistering.
- Check your road tax. Older cars can pay more. See road tax and confirm the figure for your car on OneMotoring.
- Get insurance quotes for the car at its new age before you decide.
For context, the October 2026 2nd round of COE bidding closed at S$132,004 for Category A and S$131,901 for Category B. These are the figures on the COE page, read on 26 October 2026. They are what a new car's buyer bid in that round. They are not your renewal price.
How scrapping a car works
Scrapping takes the car off the road for good. The usual order is:
- Check your COE expiry date and any rebate due on OneMotoring.
- Settle any car loan. A car under a loan may need the lender's release before it can be deregistered.
- Choose a scrapyard or a buyer who arranges scrapping, and agree on a date.
- Hand over the car. Remove your belongings, parking devices and any in-vehicle unit card first.
- Deregister the car with LTA, or confirm that the party you hand it to has done so.
- Check OneMotoring to confirm the car is deregistered.
- Receive any rebate due, as LTA sets out.
Keep every document from the handover. You may need them to show when the car left your hands.
How exporting a car works
Exporting follows a similar path, but the car leaves Singapore instead of being broken up. A car's export value depends on overseas demand, so not every car is suited to it.
The usual order is:
- Ask buyers who export cars to quote for your car.
- Compare what each quote includes: any rebate, the price for the car itself, and who pays for towing and paperwork.
- Settle any car loan.
- Hand over the car and its documents.
- Confirm on OneMotoring that the car has been deregistered.
Ask each buyer who will deregister the car and when. Get it in writing.
When to start
Start early. Waiting until the last week leaves little room to compare offers or sort out a loan.
A simple timeline:
- Some months before expiry: look up your expiry date, rebates and the current renewal price on OneMotoring.
- Before you commit: get insurance quotes for a renewed car and compare them with the cost of scrapping or exporting.
- Once you decide: book the scrapyard or export buyer, or apply to renew.
- Before the COE ends: make sure the car is renewed or deregistered.
LTA sets any deadlines for deregistering before expiry. Check them on OneMotoring.
What you need
Have these ready before you start:
- Your Singpass login, for OneMotoring
- The car's registration number
- Your COE expiry date and rebate details from OneMotoring
- Your loan details and settlement amount, if the car has a loan
- Your latest car insurance policy and renewal notice
- Your current NCD, shown on the renewal notice
What happens to your car insurance
Your policy covers a named car. When that car is renewed or deregistered, the policy needs attention.
If you renew the COE, your policy can carry on. At the next renewal, the price may change, because insurers price on the car's age as well as the model, the main driver, the NCD and the cover. Some insurers limit cover for older cars. See insurance for older cars for what to check.
If you scrap or export the car, keep the car insured until it has left your hands and been deregistered. A car on the road needs motor insurance in place. Then:
- Tell your insurer the car has been deregistered.
- Ask whether the policy can be cancelled, and from which date.
- Ask whether any unused premium is refunded, and how it is worked out. This depends on the policy terms.
- Ask for a letter or record confirming your NCD.
What happens to your no-claim discount
Your NCD belongs to you, not the car. It builds up by 10% after one year without a claim, rising 10 points a year to 50% after five years. When the car goes, the discount stays with you.
It is worth keeping. On the site's no-claim discount page, the lowest price for a 3-year-old Toyota Corolla Altis 1.6, for a driver aged 40, was S$642.42 at 50% NCD against S$1,416.35 with none. That is S$773.93 a year. These prices include GST and were read on 26 October 2026.
An NCD that is not used on any car does not stay valid for ever. How long it stays valid depends on the insurer. Ask your insurer when you cancel, and note the answer.
Moving your NCD to your next car
If you plan to buy another car, your NCD moves with you. It also moves to a different insurer.
When you get quotes for the next car:
- Have your NCD letter or latest renewal notice to hand.
- Give the same NCD on every quote, so the prices can be compared.
- Check that cover starts on or before the new car's registration date. A car cannot be registered without motor insurance.
- Compare the cover, excess and workshop terms, not just the price. You can compare car insurance with your own details.
If you renewed your COE instead, the same steps apply at your next renewal. Have your NCD ready and compare like with like.
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.