Insurance Coy wants to increase premium after renewal done?

[DACH]

NCD protector protects NCD.

It never say protect your premium from increasing.

 

Insurance can LPPL you by increasing premium.

Which means you have to pay more to protect the NCD?

[Kb27]

All insurance companies are the same. They want to make a profit, as much as possible.

 

They upsell you on NCD protection, free windscreen replacement, etc.

But once you make a claim, they try to collect back from you and the easiest means is to increase your premium accordingly.

[BanCoe]

At least let us here know which Insurance Co is yours, so we know next time if they work this way;  As I mentioned in my ealier post they charged me $107/- upfront when there was a spider web like crack on my windscreen ;  Yours maybe lucky they only charged you $100 (or is the GST not included yet in your premium??)      

 

Hi gurus.

 

Seems like a pretty grey area to me after all these discussion because there are 2 sided argument from this thread.

 

I am still confuse whether I am a sucker in this case or the insurance coy is right.

Guess I will just pay the extra 100 to save all the hassle.

 

But 1 thing I learn is to not pay more for the "no windscreen excess" next time because all these seems like pure gimmicks to leech more from consumer, since they are still going to make you pay one way or another at the end of the day.

 

Thanks folks for all the insights. :)

 

[flashbang]

can explain why NCD protector is useless?

 

It is useless because you are paying money to protect something useless! What is more important, NCD or premium? If there is a premium protector offered at the right price, I will buy it!

 

Here are 2 simple examples how insurers screw you.

 

1. Safe, Careful Driver, never accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

This year insurer give out fat bonus to management, end up no money inside account, need to reclaim from you next year.

 

Your renewal quote:

Base premium = $2000 + $1000 ("rising costs in industry", "increased claims last year", "<insert bulls**t reason>"

NCD = 50%

NCD protector = $200

Final premium = $1700 ("I thought I never claim????")

 

2. Suay Driver, end up in accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

Stupid guy in front jam brake, end up you rear end him. Never mind lah, NCD protector, ownself claim ownself lah! Insurer arm chio liao.

 

Your renewal quote:

Base premium = $4000

NCD = 50% ("Heng I buy NCD protector")

NCD protector = $200 ("Ok lah, charge you same price")

Final premium = $2200 ("knn why increase $1000 from last year")

 

 

Nowadays got a third kind, which is LIFELONG 50% NCD. They probably hide the cost of the NCD protector into your yearly escalating premiums....

 

Bottom line: Don't get into accidents, no free lunch in this world

[The_mark]

It is useless because you are paying money to protect something useless! What is more important, NCD or premium? If there is a premium protector offered at the right price, I will buy it!

 

Here are 2 simple examples how insurers screw you.

 

1. Safe, Careful Driver, never accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

This year insurer give out fat bonus to management, end up no money inside account, need to reclaim from you next year.

 

Your renewal quote:

Base premium = $2000 + $1000 ("rising costs in industry", "increased claims last year", "<insert bulls**t reason>"

NCD = 50%

NCD protector = $200

Final premium = $1700 ("I thought I never claim????")

 

2. Suay Driver, end up in accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

Stupid guy in front jam brake, end up you rear end him. Never mind lah, NCD protector, ownself claim ownself lah! Insurer arm chio liao.

 

Your renewal quote:

Base premium = $4000

NCD = 50% ("Heng I buy NCD protector")

NCD protector = $200 ("Ok lah, charge you same price")

Final premium = $2200 ("knn why increase $1000 from last year")

 

 

Nowadays got a third kind, which is LIFELONG 50% NCD. They probably hide the cost of the NCD protector into your yearly escalating premiums....

 

Bottom line: Don't get into accidents, no free lunch in this world

I dont think price change is that drastic and if the price is not right, consumers can always source for alternate insurers.

 

If all insurers increase at that same quantum, then its suck thumb. But it also means if you dont have NCD at all, laggi bang wall.

[DACH]

It is useless because you are paying money to protect something useless! What is more important, NCD or premium? If there is a premium protector offered at the right price, I will buy it!

 

Here are 2 simple examples how insurers screw you.

 

1. Safe, Careful Driver, never accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

This year insurer give out fat bonus to management, end up no money inside account, need to reclaim from you next year.

 

Your renewal quote:

Base premium = $2000 + $1000 ("rising costs in industry", "increased claims last year", "<insert bulls**t reason>"

NCD = 50%

NCD protector = $200

Final premium = $1700 ("I thought I never claim????")

 

2. Suay Driver, end up in accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

Stupid guy in front jam brake, end up you rear end him. Never mind lah, NCD protector, ownself claim ownself lah! Insurer arm chio liao.

 

Your renewal quote:

Base premium = $4000

NCD = 50% ("Heng I buy NCD protector")

NCD protector = $200 ("Ok lah, charge you same price")

Final premium = $2200 ("knn why increase $1000 from last year")

 

 

Nowadays got a third kind, which is LIFELONG 50% NCD. They probably hide the cost of the NCD protector into your yearly escalating premiums....

 

Bottom line: Don't get into accidents, no free lunch in this world

I can always switch insurers if the price is not right for the current one.

[BanCoe]

I dont think price change is that drastic and if the price is not right, consumers can always source for alternate insurers.

 

If all insurers increase at that same quantum, then its suck thumb. But it also means if you dont have NCD at all, laggi bang wall.

 

I think jumping insurer will entail the new insurer asking details about the claim amount ..... I have not tried as I have not gotten into any accident; Once did so to an old car bumper and the driver was kind enough to just allow me to send to his workshop and I paid around $200/-+$100 for loss of car for 1 day for his car repair and mine cost another $250++ odd so all in all I paid about $600;  I thought on hindsight the trouble of claiming and documentation and then when the premium goes up again ....... like what one of the forerunners said ..... no free meal   

[Jman888]

if you have claim with ncd protector, you cannot switch insurer upon renewal.

[The_mark]

if you have claim with ncd protector, you cannot switch insurer upon renewal.

Thanks for pointing out. This is very useful knowledge that I was not aware of.

 

Did some research and seems like NCD protector only works if you stay with same insurer after a claim and if you switch insurer, it will be based on what the other insurer offer you.

[alex976]

It is useless because you are paying money to protect something useless! What is more important, NCD or premium? If there is a premium protector offered at the right price, I will buy it!

 

Here are 2 simple examples how insurers screw you.

 

1. Safe, Careful Driver, never accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

This year insurer give out fat bonus to management, end up no money inside account, need to reclaim from you next year.

 

Your renewal quote:

Base premium = $2000 + $1000 ("rising costs in industry", "increased claims last year", "<insert bulls**t reason>"

NCD = 50%

NCD protector = $200

Final premium = $1700 ("I thought I never claim????")

 

2. Suay Driver, end up in accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

Stupid guy in front jam brake, end up you rear end him. Never mind lah, NCD protector, ownself claim ownself lah! Insurer arm chio liao.

 

Your renewal quote:

Base premium = $4000

NCD = 50% ("Heng I buy NCD protector")

NCD protector = $200 ("Ok lah, charge you same price")

Final premium = $2200 ("knn why increase $1000 from last year")

 

 

Nowadays got a third kind, which is LIFELONG 50% NCD. They probably hide the cost of the NCD protector into your yearly escalating premiums....

 

Bottom line: Don't get into accidents, no free lunch in this world

Problem is if u Kenna rear ended hw? Nt ur driving lousy, it's the guy behind you guys can't drive. So liddat hw arh?

[flashbang]

Problem is if u Kenna rear ended hw? Nt ur driving lousy, it's the guy behind you guys can't drive. So liddat hw arh?

 

Then it doesnt matter because it is considered "not at fault" accident. Unless you end up in more than 1 during the year. Maybe should brake earlier and don't tailgate in front so the rear driver has more time to stop.

I can always switch insurers if the price is not right for the current one.

 

You can, but you have wasted the money on the NCD protector as the new insurer will take you at 20% NCD.

I dont think price change is that drastic and if the price is not right, consumers can always source for alternate insurers.

 

If all insurers increase at that same quantum, then its suck thumb. But it also means if you dont have NCD at all, laggi bang wall.

 

Example only...    But the concept behind is the same - NCD doesn't matter as the insurer is free to adjust the base premium they are charging you.

 

Last time when getting renewal quote, my NCD increased by 10% but my premium also increase by 10%  . Switched insurer and got a much better price.

[Nzy]

 

Example only...    But the concept behind is the same - NCD doesn't matter as the insurer is free to adjust the base premium they are charging you.

 

Last time when getting renewal quote, my NCD increased by 10% but my premium also increase by 10%  . Switched insurer and got a much better price.

 

Yeah. Switching insurers when you didn't have claims in the past few years is easy. But once got claim, want to switch also difficult, cuz they'll always ask for claims history...

 

My uncle who drives a taxi wanted to change insurer for his own cars. But both cars also cannot change in the end cuz they checked his claims history and his taxi was involved in a few accidents. Even though the outcome for all those previous claims were all 100% not his fault, they also quote him higher premium for one of his car and didn't even want to quote for his other car.

[inlinesix]

It is useless because you are paying money to protect something useless! What is more important, NCD or premium? If there is a premium protector offered at the right price, I will buy it!

 

Here are 2 simple examples how insurers screw you.

 

1. Safe, Careful Driver, never accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

This year insurer give out fat bonus to management, end up no money inside account, need to reclaim from you next year.

 

Your renewal quote:

Base premium = $2000 + $1000 ("rising costs in industry", "increased claims last year", "<insert bulls**t reason>"

NCD = 50%

NCD protector = $200

Final premium = $1700 ("I thought I never claim????")

 

2. Suay Driver, end up in accident

Base premium = $2000

NCD = 50%

NCD protector = $200

Final premium = $1200

 

Stupid guy in front jam brake, end up you rear end him. Never mind lah, NCD protector, ownself claim ownself lah! Insurer arm chio liao.

 

Your renewal quote:

Base premium = $4000

NCD = 50% ("Heng I buy NCD protector")

NCD protector = $200 ("Ok lah, charge you same price")

Final premium = $2200 ("knn why increase $1000 from last year")

 

 

Nowadays got a third kind, which is LIFELONG 50% NCD. They probably hide the cost of the NCD protector into your yearly escalating premiums....

 

Bottom line: Don't get into accidents, no free lunch in this world

Sorry hor.

 

MAS has an admin expense cap. No insurer can breach it.

 

Your example 1 fail.

 

For rising cost of claims, it is reflected in claims ratio. GIA will tell u industrywide data.

 

There are about 600k car (excl rental car) to share among 30 insurers, of which top 3 takes up about 50% of mkt share. Our mkt just lack the scale to digest any negative trend.

[Othello]

Just received my renewal notice. Stated very clearly are the words --> 

 

**If any accident or claimable event occurs on or before the expiry of the existing policy, we reserve the right to reduce the NCD (No Claim Discount) and revise the renewal terms.**

 

So any updates, TS ?

[inlinesix]

 

Insurance claims from road accidents climb by 11.8 per cent despite fewer reported accidents

The scene of an accident in Lorong 1 Toa Payoh on April 19, 2018. The driver was unhurt but his car was severely damaged.PHOTO: ST FILE

Published

Sep 25, 2018, 1:29 pm SGT

 

Christopher Tan

Senior Transport Correspondent

SINGAPORE - Motor accidents are becoming more severe and involving more injuries, going by first-half results released by the General Insurance Association (GIA) on Tuesday (Sept 25).

The association said there had been a "significantly higher increase" of 11.8 per cent in incurred motor insurance claims, totalling $291.3 million for the interim period, despite a dip of 4.3 per cent in the number of reported motor accidents.

As a result, the motor insurance sector incurred an underwriting loss of $12.6 million for the six months up to June 30, from a profit of $17.2 million in the same period last year.

 

The association noted that this was the third consecutive quarter in which motor insurance - which accounts for more than a quarter of the general insurance business - had been loss-making.

On the back of that, gross premiums for motor insurance shrank by 2.4 per cent to $600.9 million in the first half of 2018.

There are no details on what contributed to the situation but the GIA said an inference could be made about the figures. It said escalating claims on the back of fewer accidents can mean only one thing: the accidents were on average more severe, possibly involving more injuries.

 

The Straits Times understands that more claimants engaging lawyers could be a secondary contributing factor, as claims through legal means are usually bigger. An increased number of inflated and fraudulent claims could also be a factor, sources said.

A bigger pool of private-hire cars - a fairly new phenomenon - could be another contributor.

Related Story

Women are safer drivers and pay less insurance

Earlier this year, statistics from motor insurers showed that private-hire cars - which make up 4.9 per cent of the total vehicle population - accounted for 9.4 per cent of 82,800 accidents reported in the second half of 2017.

Passenger cars, which make up 59 per cent of vehicles, accounted for 49.5 per cent of accidents.

Taxis, which make up just 2.4 per cent, accounted for 13 per cent of accidents.

On the whole, the general insurance sector saw a marginal 1.1 per cent increase in total gross premiums to $2.07 billion in the first half of 2018, the GIA said.

Underwriting profit plunged by 94.5 per cent to $3.14 million, "as claims costs increased significantly across key segments such as motor insurance and work injury compensation insurance", it said.

Work injury compensation posted an underwriting loss of $6 million - down from a profit of $1.4 million in the first half of 2017.

GIA president Karl Hamann said: "Our top priorities include working with key stakeholders to reduce the severity and frequency of motor accidents, and leveraging digital technologies... to lower and mitigate claims costs inflation."

 

 

 

 

[Vratenza]

Got a question: Why women can pay less car insurance when they don't need to pay more health insurance premium despite them having more and higher medical costs.

 

careshield-life-sparks-hot-debate-over-gender-differentiated-premiums

https://www.todayonline.com/singapore/careshield-life-sparks-hot-debate-over-gender-differentiated-premiums

 

Isn't it all about risk pooling?

 

Women are safer drivers and pay less insurance

Earlier this year, statistics from motor insurers showed that private-hire cars - which make up 4.9 per cent of the total vehicle population - accounted for 9.4 per cent of 82,800 accidents reported in the second half of 2017.

 

Passenger cars, which make up 59 per cent of vehicles, accounted for 49.5 per cent of accidents.

 

Taxis, which make up just 2.4 per cent, accounted for 13 per cent of accidents.

 

On the whole, the general insurance sector saw a marginal 1.1 per cent increase in total gross premiums to $2.07 billion in the first half of 2018, the GIA said.

 

Underwriting profit plunged by 94.5 per cent to $3.14 million, "as claims costs increased significantly across key segments such as motor insurance and work injury compensation insurance", it said.

 

Work injury compensation posted an underwriting loss of $6 million - down from a profit of $1.4 million in the first half of 2017.

 

GIA president Karl Hamann said: "Our top priorities include working with key stakeholders to reduce the severity and frequency of motor accidents, and leveraging digital technologies... to lower and mitigate claims costs inflation."

 

 

 

Edited September 27, 2018 by Vratenza

[t0y0ta]

Yes this year my premium only reduce around 3% when I renew even though I had no claims.

 

I was expecting much more. My insurer said that overall industry premiums all trend higher.. bo pian.

 

I went shopping around - really most other big insurer even more expensive... so renew with current lor.

[Yewheng]

Yes this year my premium only reduce around 3% when I renew even though I had no claims.

 

I was expecting much more. My insurer said that overall industry premiums all trend higher.. bo pian.

 

I went shopping around - really most other big insurer even more expensive... so renew with current lor.

In reality no one wants to rock the boat. If all insurance company clamp down very hard on inflated claim and also those claim for injuries and medical that makes no sense at all, maybe they would not be making losses.

 

See online got many cases where it is just a slight hit and no visible scratch can claim 6k for injures? Wtf man. So these are the one that cause insurance companies to make losses.

 

Really hope someone in the parliament dare to speak up on this and make it tougher to claim car accident for injuries. Things like a light bump will not qualify for injury claim and etc. This will certainly help to cut down on uncessery claim and or inflated claim.