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All bros, its the time of the year again.

time for renewal of car insurance.

i was shopping around online and found directasia.

 

question is................... why directasia car insurance so cheap???

 

 

 

got wad ahm ahm clauses anot?

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All bros, its the time of the year again.

time for renewal of car insurance.

i was shopping around online and found directasia.

 

question is................... why directasia car insurance so cheap???

 

 

 

got wad ahm ahm clauses anot?

[;)]

 

How cheap as compared to ur current insurance? Motor insurance in Singapore is NEVER cheap.

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Thats quite a lot.Go for it.

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I am currently signed up with directasia as well

 

Premiums are also around 30% cheaper (but that's because I tagged on a few extras) versus my renewal from AIA...

 

However, there are some terms and conditions...

 

What I didn't quite like was the payout for 3rd party damage is only S$5k I think...anything else above, we pay

 

 

 

 

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I am currently signed up with directasia as well

 

Premiums are also around 30% cheaper (but that's because I tagged on a few extras) versus my renewal from AIA...

 

However, there are some terms and conditions...

 

What I didn't quite like was the payout for 3rd party damage is only S$5k I think...anything else above, we pay

 

a limit on 3rd party coverage - is it allowed under the laws? that there are time bombs running on SG roads manufactured by DirectAsia whereby any wrongdoing by their insureds, the receiving party may end up with insufficient recourse to have their damage reimbursed. Frankly, S$5k is worryingly too small to cover for vehicle repair costs, leave alone to sufficiently reimburse the medical costs, loss of future earnings in the case of disability and dead claims.

 

Wow...............

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dead claims is unlimited i saw...

and disability also damn high...tink 500k etc...

 

wad i see is their approved workshop is some charp-palang WS. seepeh scared

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a limit on 3rd party coverage - is it allowed under the laws? that there are time bombs running on SG roads manufactured by DirectAsia whereby any wrongdoing by their insureds, the receiving party may end up with insufficient recourse to have their damage reimbursed. Frankly, S$5k is worryingly too small to cover for vehicle repair costs, leave alone to sufficiently reimburse the medical costs, loss of future earnings in the case of disability and dead claims.

 

Wow...............

 

Actually I find that clause tough to believe....it doesn't seem to make sense to me. Will see if I can check on it and let everyone know.

 

So far, from the information I have to hand a few reasons why they are so cheap

1. Already mentioned - totally no agents, so no commissions to pay. Some (all) of the "legacy" insurers still have agent commission built in, even if you go direct

2. Direct Asia are very aggressive in fighting fraudulent claims

3. They have a buying network to reduce repair costs, and are more aggressive than industry norm in making sure only approved and proper repairs relating to the accident are done

4. What I like most, is that they have accident recorders - if you are involved in a serious accident, you can call Direct Asia and they will dispatch one of these specialists to the scene to help record the details, which helps determine fualt in claims, and also stops further damage happening after the fact from towers / workshops etc (i.e damage arising for careless towing or whatever, remebering that the workshop has a vested interest in making the damage as bad as possilbe)

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4. What I like most, is that they have accident recorders - if you are involved in a serious accident, you can call Direct Asia and they will dispatch one of these specialists to the scene to help record the details, which helps determine fualt in claims, and also stops further damage happening after the fact from towers / workshops etc (i.e damage arising for careless towing or whatever, remebering that the workshop has a vested interest in making the damage as bad as possilbe)

 

LOL, i remember 15 years ago a fren's car involved in accident and claiming insurance on the other driver to repair the rear and one of the side (kena kissed from behind)....car towed to work shop, ask the guy if can also repair the slight knock on the side door.....the guy took a look, take out sledge hammer and whack the side door....then tell my fren no need repair, change a new door.....LOL

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That was the time when image capturing device still not popular among public... now we have the technology, so must make full use to protect again this kind of fraud.

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LOL, i remember 15 years ago a fren's car involved in accident and claiming insurance on the other driver to repair the rear and one of the side (kena kissed from behind)....car towed to work shop, ask the guy if can also repair the slight knock on the side door.....the guy took a look, take out sledge hammer and whack the side door....then tell my fren no need repair, change a new door.....LOL

 

Yep exactly - this is the sort of behaviour that Direct Asia is quite aggressive in stamping out.....so far I kinda like what they are trying to do.

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I find out that they only insure cars not older than 10 years and they also dun insure people under 25 y/o.

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I am currently signed up with directasia as well

 

Premiums are also around 30% cheaper (but that's because I tagged on a few extras) versus my renewal from AIA...

 

However, there are some terms and conditions...

 

What I didn't quite like was the payout for 3rd party damage is only S$5k I think...anything else above, we pay

 

pardon me for my ignorance.. what do you mean by 3rd party damage?

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I think all the above strategies from Direct Asia that you have mentioned, NTUC has been trying to inforce, which explains the IDAC and assisgned workshop all these stuffs. Which insurer don't want to settle claims fast and fairly ? it's easier said than done. There are alot of implications. I think previously alot of insurers under IDAC scheme but they pulled out bcoz the cost is not justifiable.

 

Agent commission is at most 15%, so even if they cut that off, they can't be 30% cheaper.

I felt Direct Asia can charge cheaper because they are new in the market. They are not burdened by hugh claims yet. Once all the claims start coming in, the overhead costs will go up exponentially.

 

That said, end of the day, insurance is about pooling premiums to pay for those small percentage who meet with accidents. So, if contract is ok, the only concern would be if they are financially strong enough to cover if the small percentage who claims blow out of their provision. Legal fees and hospitalisation fees or damage to public properties i think are the killer.

 

Price or peace of mind, it's your choice. I choose the first. [:p]

 

 

 

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pardon me for my ignorance.. what do you mean by 3rd party damage?

 

3rd party means the other party.

can't be 5k lah. he must have read something wrongly.

 

 

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this year Directasia is cheap, just go for it.

 

come next year when too many claims & they cannot take it, their premium will shoot up. but by next year, just change to another insurer who is desperate for business.

 

The car ins market always passing batons, every year sure got someone selling cheaper.

 

I hope one day all car insurance coy behave like our local petrol company, all adjust price up & down at same price.

 

btw, all those agent selling car insurance can eat grass this year, online insurance is just a click away.

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