CHECK FREE VEHICLE NCD ONLINE PREVENT INSURANCE FRAUDBy rmr_view • Feb 10th, 2010 • Category: ! Product News
Now vehicle owners can check their motor insurance and motor takaful discount via a new free online service. The service provided by ISM Insurance Services Malaysia effective 1 January 2010, all insurers and takaful operators must reference a central database for NCD information when purchasing a motor insurance or takaful policy. ISM has developed a more transparent approach by allowing both insurance companies, takaful operators as well as consumers to access the NCD information . The real value would be in enabling all consumers to have access to their eligible NCD via a simple online service. Since 2009, the NCD information can also be obtained via an SMS service with cost RM2.00.
In the past, consumers were often asked to pay the full premium without NCD until the NCD level could be verified by the company. While the insurer would eventually refund any amounts overpaid upon verification, this practice is unfair to consumers that are eligible for NCD. With the highest level of NCD at 55%, that is equivalent to RM550 on a RM1,000 policy. If there was any dispute on the NCD level in the database, consumers must contact their insurer or takaful operator and ensure that they update the information to the central database.
Vehicle owners can now check their motor insurance no claims discount (NCD) via online for free. The service, which took effect since Jan 1, is made possible by Insurance Service Malaysia (ISM). ISM chief executive officer Carl Rajendram said that the online service enabled vehicle owners to verify their own NCD status, thus avoiding possible fraud. which frequently happened previously.
Previously, consumers were often asked to pay the full premium without NCD until the NCD level could be verified by the insurance company.
“With the use of the online system, users can check their NCD status on their own, acknowledge their status faster without depending on the insurer,” he told a press conference after launching the NCD website, which is accessible at www.ism.net.my , here Tuesday.
NCD is a ‘reward’ scheme if no claims are made against the policy during the preceding of 12 months of policy and it ranges from zero percent up to 55 percent for private cars and zero to 25 percent for motorcycle.
At the same event, ISM also introduced the CarPrices Guidebook for Malaysia or ‘Green Book’, contains independently researched market values of used cars sold in Malaysia.
The booklet contains a comprehensive list of more than 8,000 makes and model, which could be useful and easy reference to the public and would complement to the current specific valuation service which is available online through their Automotive Business Intelligence (ABI) service.
Rajendram said the booklet, published quarterly, would be a useful reference for car dealers, insurers, banks as well as consumers.
“The CarPrices booklet will assist consumers to benchmark their price for their particular car versus our extensively research average market value to assist in determining if they are getting a fair deal.
“Our objective is to create a more transparent process in the buying, selling and insuring of motor vehicles by putting relevant information in the hands of consumers,” he said.