Monday, March 23, 2009

of rising premiums and inflated injury claims down south?...

At MAS golden lounge changi airport singapore. Short quick trip. Nice when some people remember you, but upset when they don't provide your favourite peanuts anymore (uwaaa). And even more upset after having been a loyal enrich member, you don't accumulate enough points, and they downgrade you to silver (uhu hu hu). Anyway, we had a good meeting at the new premises of the general insurance association of singapore (GIAS) just before lunch . They are impressed with what we do to contain costs of claims, reducing subjectivity and dispute resolutions to the malaysian motor insurance industry. CF Lim, PIAM executive director and me, we decided to take the earlier flight home. We're suppose to fly back on SIA at 5 pm actually. The singaporeans asked me how come we are members of RCAR (Global Research Council for Automobile Repairs)? I said only four countries represent Asia. Korea, Japan, Australia and Malaysia. And you must first be representing your country's motor insurance industry and membership is by invitation only and must be approved by other research centres during its annual meeting (wink). GIAS is worried over a report carried in yesterday's singapore straits times (read here). We hope they would not get into unnecessary problems. When I read that news report...I said to myself...hmmm sounds like a familiar plot, storyline much like a chicken and egg type situation. Simple economics of demand and supply and owh well, a zero sum game...in this instance...the losers are the motor insurers having to bear huge claims payout, then, as a punitive measure, premiums are raised and who cries foul now? well..your guess is, as usual, as good as mine...

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