Had trouble renewing your third party motor insurance? Premiums too much of a burden? Here’s a chance for your views to be heard. Bank Negara Malaysia is seeking public feedback on basic motor insurance coverage for third-party bodily injury and death. Our central bank recently placed ads in newspapers, urging readers to download a copy of the consultation paper on the proposed policy at www.bnm.gov.my. Here’s the invite:
Following the Government’s announcement in Budget 2010 on the need to provide adequate access to reasonably priced basic motor insurance coverage, Bank Negara Malaysia is currently working with the relevant authorities in formulating a scheme to provide basic third party bodily injury and death cover at an appropriate level of protection to the public.
Bank Negara Malaysia has undertaken consultations with consumer and transport associations, the Malaysian Bar Council as well as the insurance industry to obtain the first round of feedback on the guiding principles, objectives and proposed features under consideration. We would also like to seek similar feedback from members of the public.
A PDF file which has presentation slides and FAQs are available for download. Feedback can be submitted to BNM via email, post or fax. “Feedback received from all stakeholders will be taken into consideration towards further refining the proposals under consideration,” Bank Negara says.
The insurance industry claims to have lost RM1 billion since 2008 as premiums have not changed for the past 30 years, leading insurers to be very selective in providing TPBID coverage. Owners of old cars are now forced to take up the last resort Malaysian Motor Insurance Pool (very expensive!) or buy comprehensive cover – I chose the latter. The issue caught the attention of the Prime Minister, who last month directed BNM to take into consideration the people’s plight when proposing the new basic motor insurance coverage. Let’s hope a good compromise is reached!
Look after the jump for an embedded version of the PDF file.