29 Dec - 2 min read
The General Insurance Association of Malaysia (PIAM) has announced that it will be offering a one-off subsidy of up to RM500 for the clean-up of vehicles that were directly affected by the recent floods.
Provided under PIAM’s newly established Flood Relief [email protected] 2021 as a corporate social responsibility (CSR) initiative, the subsidy is capped at RM500 per car or commercial vehicle, and at RM100 for motorbikes. PIAM also emphasised that this initial aid is currently offered only for the clean-up of affected vehicles at workshops, and not repairs.
“Claimants will need to produce requisite evidence of flood damage to their vehicles and proof of previous insurance cover. The said vehicle must be either currently insured (any type of motor policy, with or without flood cover is eligible), or a vehicle that was last insured on 1 June 2021,” the associate further clarified in a statement, adding that it will share more details on how to apply for the fund soon.
Additionally, PIAM noted that it has allocated a total of RM2.43 million for the initiative; the Flood Relief [email protected] 2021 will cease once the pledged amount has been exhausted. PIAM also invited other parties or industries to contribute to the fund to “extend the longevity of the Fund and consequently assist more affected motorists.”
This subsidy is made available on top of existing efforts that insurers are already providing to those affected by the floods two weekends ago, including an easier and expedited flood claim process. Back then, PIAM also shared that “special considerations” may be offered to customers on a case-to-case basis.
Aside from announcing the subsidy, PIAM also estimated that the general insurance industry is potentially facing a payout of between RM2 billion to RM3 billion for flood-related claims, due to the unusually severe floods that are happening across the country. The total includes actual and potential personal lines and commercial risks claims from the recent flash floods and the upcoming monsoon season.
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