Wednesday, February 18, 2009

Raising Insurance Policy Is Not A Discount Plan

It was brought to my attention that the insurance companies had proposed to the Bank Negara to raise the motor premiums. If the proposal is approved, policyholders will be able to buy or renew their motor insurance policies directly with insurance companies at a discount. (so, why raise it in the first place, I don't see any trader who would purposely raise the price and give a discount) ????

The move would allow policyholders an option to either walk in and buy or renew directly over the counter at a discount from insurers or they could buy through their agents, whereby they would HAVE TO PAY A 10% COMMISSION

Which means, the insurance agents will have to compete with the insurance company whom they have worked their ass off for years bringing in clients. They will have to convince their clients not to go direct to the company, which the clients have reasons to. Who in their right mind would want to pay an extra 10% if they have the options not to??? If the proposal is approved, the agents are gonna go through a hard time.

And the reason for the raise ??? Due to rising motor insurance claims. That is bulls**t!! The Proposal is said to benefit consumers and check the growing abuses of agents. What??!! The check shouldn't be at the cost of the clients' expense, the company should manage their agents' problem internally. Don't drag clients into it.

When we buy insurance, and pay our premiums annually, yes, we feel 'safe'. If anything ever happens, we would be 'covered'. Who on earth would pray to have their cars stolen or damage just to 'make use' of the insurance that they've been paying for nothing for years. Some of us, most of us actually, have been paying our premiums forever, and thank god, never ever have to make 'claims'. It means, we have just been 'giving' money to the insurance companies. When something happens, the agent try hard to find out what actually happened and hoping not to have to pay the claimers. Citing, not relevant, not stated in the policy, bla bla bla ..... I've worked for an agent before, just for a few months. Felt like I was cheating people, that's why I quit. On the phone with the clients, all flowers & ok ok, no problem. Once she (my x-employer) put down the phone, "Troublesome!!! Make my life hard!" She snotted (whatever snotted means). "You take this policy, good for you, we'll take care of you ... no problem. Just sign here .... " Sign here and make money for me! 

I'm not saying all insurance agents are bad people, I know a few and they actually genuinely are helpful and care for their clients. And they make good money at the same time. 

Back to the reason for the raise .... They can't say the of price of flour has doubled, or the price of fuel has rise (the company don't have to drive around, the agents do). Maybe, maybe they can say the price of stationaries has reason!!! The price of paper sudah mahal lah!!! Ha ha ha ! Doing insurance business doesn't cost much, they're just selling papers, papers for you to sign. And oh ya! The birthday cards they 'must' send to you every year. Send you reminders that your premium in due in a month. No papers needed, nowadays can just email. Oh, again, that's the agent's job, not the company.

Why would I give a damn if there is rising in motor insurance claims??? Why would I have to pay extra premiums when the insurance company have to attend to the raise of motor theft? The insurance company should just cut the commissions paid to their agents, not charging extra to the clients. Or impose a certain regulation to automobile companies that the vehicle should be 'theft free'. Ha ha ... that's funny. But, it just doesn't make sense to me that the insurance premiums should be raised due to the rising of insurance claims.


The Fleece Master said...

di sitok, most of insurance policies boleh dibeli terus dr online sik perlu thru agent. at least kita boleh safe sikit interm of agent's fee. and when it comes to claim if anything happen, so senang and the claim will be paid up to 3 working days tanpa bnyk red tabs.

AmirFX said...

Mun keta ok lah... Tapi bagi yang makei tosikal tok insuran ntah pa2 jak lah perlu byr juak.... Mun nak claim pun smp moto ya ancur kedak lempeng bok dpt claim.... Mun kenak scratch o skidded sikit tas body sekpat nak claim terus.... Nway kmk nang sik puas ati pengguna tosikal d polah cemya....

khairul onggon said...

oh... ktk involv juakkah lam dunia insuran?? ejen? hehehe.. duit oh duit..

Linz said...

A lot of insurance companies do this. I think they can do it because people will pay extra to have an agent whom they can talk to directly. It makes sense financially. I know it seems out of the question, but the people who don't have their own agent shouldn't be charged the same price as those that do.

Ida Athanazir said...

F.Master, so senang mun gia. Ctok mcm2 soal dak nya ... ada ajak alasan

Amir, kdg2 org bekereta pun dipolah daknya kedak ya, ikut nasib

Khairul, sik da lah mek jual insurance ... sik minat langsung

Linz, different countries has different ways of doing it. Still, whatever it is, we have no choice but to pay for the premiums.

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