Featured

Detariffication in Malaysian Motor Insurance


When liberalisation of car insurance tariffs in Malaysia can help you save more and get better coverage.

GetCover

The Motor Insurance sector in Malaysia will be shaken up quite a bit in the next few months as Bank Negara Malaysia (BNM) recently confirmed that in its Financial Stability and Payment Systems Report 2015 (released back in March 2016) that motor and fire insurance premiums will soon be based on a list of risk factors and not regulated by current pricing policy

The transition will happen gradually and the first phase just kicked off this month, 1 July 2016. So the insurance industry is allowed offer new products with optional add-on covers and the prices will not be regulated. It will also be determined by the market and will allow insurance providers to ‘open price’ to these products as they see fit.

BNM Diagram 1

In simple words, your premium rates for car insurance will be based on what car you’re driving and your driving experience. If you just got your driving license and you’re driving a BMW, you could have to pay higher premium than the slow-driving Uncle who drives the same model vehicle. So premium prices may vary across different insurance providers.

BNM Diagram 2

This is indeed good news to consumers and car owners. It’s also a good opportunity for insurance providers to push out new products that may benefit certain car owners. In short, it’s a win-win situation for all.

Now the only problem we could be facing as a car owner is the vast option that we will get from all these insurance providers. So how can we get the best and know how to getcover on all these choices?  We’ll find out soon enough I guess.



Related Posts with Thumbnails




Tagged , , , ,

Share this post:

About Galvin Tan

A creative professional and social media junkie, Galvin Tan has been blogging since 2005 and he writes about everything from food to gadget. An avid fan of football and loves playing foosball and basketball. For latest updates, follow him @galvintan on Twitter.

View all posts by Galvin Tan →

Facebook comments:

0 comments
Our Sponsors
Post Calendar
July 2016
M T W T F S S
« May    
 123
45678910
11121314151617
18192021222324
25262728293031
Follow Me on Imotiv.ly
LIKE IT!
Latest Comment