There is a jarring thud and the tinkle of shattered plastic. The driver behind you has just crashed into the back of your car.

What should you do next?

In the past, you and the other driver would move to a safe area, exchange details and then go your separate ways. Later, you would fill in an insurance claims form, giving the other party's details and an explanation of what happened.

Meantime, the other party would have done the same thing. However, their version of events might have been different from yours, and this could lead to a lengthy investigation by the insurers involved.

In the majority of cases, the findings of the insurer accurately reflected who was at fault. But in some cases, disputes occurred over what happened and who was liable.

In November, the General Insurance Association (GIA) launched the Singapore Accident Statement, an initiative aimed at tackling this problem.

This Statement is a booklet based on a similar concept that has been used successfully in much of Europe for the past 31 years. It replaces all other motor insurance claims forms.

It contains two statements for motorists to fill in the event of an accident. Policyholders are advised to keep a copy in their vehicle, along with a ballpoint pen.

Its goal is to provide accurate information that helps insurers better understand the circumstances of the accident so claims processing is fairer and more efficient.

The first form, Accident Statement (Part I), should be filled in and signed by both parties at the scene of the accident and submitted to their insurer, Idac or an authorised workshop within 24 hours. This statement is carbonised, so both parties can complete the same form and take a copy.

In addition, motorists should collect details of any witnesses and, if possible, take a photograph of the accident scene. If someone is injured, the police should be called immediately.

If the parties do not agree with each other's version of events, they should indicate what they disagree with on the Accident Statement and sign it.

The second form, Individual Statement (Part II) can be filled in away from the scene of the accident and submitted to the policyholder's insurer, an Idac or an authorised workshop within 24 hours of the accident.

A 24-hour hotline will be available to motorists should they need help to fill in the Singapore Accident Statement, or have any questions. The hotline number will vary from insurer to insurer.

GIA President, Mr Terence Tan, said: "By establishing the facts of the accident at the scene, there is less opportunity for the at-fault party to change their version of events. We want to make insurance fairer and more efficient for everyone."

The GIA has produced two consumer guides on understanding motor insurance: "Insuring Your Motor Vehicle" and "What to Do After an Accident", which are both available from insurers and the GIA. More detailed versions are on the GIA website at www.gia.org.sg.