End Unfair Accident Insurance Claims Govt Told

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Fomca says motorists without a valid vehicle insurance could get away with impunity, and renew their annual insurance later without any liability for prior accidents.PETALING JAYA: A consumer group today raised the alarm over motorists forced to use their insurance cover in crashes when the other party was at fault.
Federation of Malaysian Consumer Associations (Fomca) CEO Saravanan Thambirajah said that in fender benders, both parties must lodge a police report in an accident.
He said more often than not, only one party lodges a police report, while the other does not, and gets away for doing so.
“Until and unless the perpetrators report, only then can the victims claim from the perpetrators’ insurance, or else they have to claim from their own insurance.
“In this event, the victims will eventually lose their no-claim bonus (NCB), which is utterly unfair. Why do victims have to go through this agony because of the mistake of others?” he said in a statement today.
Saravanan said another key issue was that motorists without valid vehicle insurance could get away with impunity.
He said these motorists without insurance would be allowed to renew their annual insurance and are not liable for previous accident claims.
Saravanan said police must create a separate agency to handle accident cases, as they are overwhelmed with hundreds of cases daily.
He said Bank Negara Malaysia, as the regulators for insurance companies, must step in to fix these loopholes immediately.
“Tough measures need to be taken to arrest this situation before many innocent road users become victims of this void in the law and unscrupulous road users.
“Offenders need to be punished and innocent victims need to be protected by providing them insurance coverage without losing their NCB.”- FMT

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