Road accident injury claims rising
April 13th, 2008 by ALVIN SOONG
2 yrs back I had the same incident. When I knocked into a car previously it was a light hit on the right bumper but when the bills came out, the motor workshop charge a fee on both the left and right bumper, headlights and even the bonnet. Ridiculous for hit only on the right side of the car. Workshop bills = $1600! and lawyer fees = $2800!!!! (more expensive than the workshop bills. Total repair fees was at $44,000. I was fortunate that I had reported my case early to IDAC and my insurance company had settled the bills. Naturally my ncd was affected, but I do learn a lesson. In such claims, take pictures and make both cars go through IDAC or if not now inform the insurer immediately. I now have a camera in my car all the time.
News Exercepts below:
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Claims are sometimes larger than those for repairs, and they are driving premiums up
Motor insurers, which have been battling the scourge of inflated repair bills for years, are now facing a new monster: injury claims arising from road accidents, and not all of them appear to be genuine. Industry players said the claims, which are sometimes many times larger than those for vehicle repairs, are costing insurers an arm and a leg in payouts and driving premiums up for motorists.
One leading insurer said it received on average 300 injury claims a month last year - more than double the 140 a month it received in 2006.
Last month, the GIA announced an initiative which it hopes will reduce inflated claims. From next month, motorists involved in an accident will have to inform their insurers within 24 hours. Industry sources said this was because people were less likely to lie or would have fewer opportunities to collaborate with workshops to submit inflated claims within the first 24 hours of an accident. But observers pointed out that the new plan would not address rising injury claims, which were sometimes filed days after an accident.
Exerpts from the Sunday Straits Times 13th March 2008
