Is It Practical To Implement It?

Imagine a friend of yours was involved in a major traffic accident and his newly bought Volkswagen beetle badly damaged.
Yet, he is unable to claim insurance pay-offs for his prized possession as he failed to file for a claim within the next 24 hours because he remained unconscious in hospital for the next two days, while the other motorist involved got off scratch-free and fled without rendering him help to avoid any liabilities.
Touch wood, but this would be the uneventful scenario motorists would face in an accident under the new Motor Claims Framework, which kicks in early this June.
Tuesday's (26th May 2008) announcement made by the General Insurance Association of Singapore (GIA) was followed by a month long delay to introduce this new framework to prevent insurers from incurring higher motor-underwriting loss.
Last year's $103.2 million high deficit was reportedly the worst for the sector since 2002, which coincided with a sharp rise in accidents, reports Channel News Asia.
This figure was up by 99.4% from the previous year (2006) at $625,000.
Under this new framework, motorists will have to report the accident to their insurers within the next 24 hours or latest by the next working day at any of their insurer's list of approved reporting centre(s).
Failure to comply will result in a claim being denied or worse, the loss of their no-claims discount upon policy renewal.
This three step reporting procedure demands for the individual(s) involved to be alert at the time of mishap, requires them to exchange important particulars with the parties involved, take a photograph detailing the accident scene for insurers to determine repair costs and call their insurer's hotline for further advice before taking their vehicles to an approved reporting centre.
22-Year-Old Miss Ng Yuin Jun, who just got her driver's license early this year, told us she found the new framework feasible but not for individuals caught in the above scenario.
"It would be better if motorists are given a week to file for a claim and gather sufficient evidence to support their stand."
Likewise, seasoned motorist Mr Tan Jin Ann, 56, said he sees no difference between the previous framework and the new structure.
"They shouldn't have implemented it in first place."
However, the GIA believes that with this new framework in place, the repair cost and cost of claims can be better managed. Insurers would be able to improve on their pricing and do not have to impose higher ratings on motorists, reports Channel News Asia.

A Gloomy Awakening

Friday, 16th May 2008. 2:45 a.m.
I was rudely awaken by an abrupt phone call from my boyfriend, Ricky Wang, who informed me that he will be packed off to Chengdu in Sichuan, China, to aid in rescue operations following Monday's massive earthquake which shattered through 10 provinces.
He is among the 55 strong Singapore Civil Defense Force Disaster Assistance and Rescue Team (DART) code named Operation Lion Heart, scheduled for departure at 8:30 a.m this morning at the Paya Lebar air base.
Although I knew that he has been on standby for the past 2 months, I secretly prayed hard that he would not be re-called, knowing the imminent dangers which awaited him the moment he sets foot in foreign land - the possibility of post earthquake traumas or the sudden flooding of Sichuan due to leakages from the state's largest water reserves. My initial fears of not seeing him return home alive soon grappled within me.
I cried.
Yet, I knew that I could not spare to look on the negative side of the situation. And neither could I afford to remain selfish. With his safe return, he would be greatly commended by Singapore's top governmental officials for his help rendered in the search operation.
"I will be back in either 2-3 weeks time. That's the minimum time frame given. Then, they'll send their second wave of aides to assist in the rescue." As Ricky spoke, I could sense a tinge of despair in his voice. As much as I hated him to leave, he too, had no choice but to comply to the government's orders.
"Does your family knows about this?" I asked.
"Yes."
He is the sole breadwinner of his family.
After our phone conversation, we exchanged several SMSes before he switched off his mobile at 5:30 a.m in preparation for his departure.
For the past four days before Ricky's recall, I have been closely following up on reports of the massive 7.9 magnitude earthquake which claimed over 20,000 lives, most of which are students.
The worst hit province of Wenchuan has already left nearly 10,000 dead.
Chinese government officials said that the death toll is expected to rise to 50,000, reports asiaone news.
Currently, rescue aides in Sichuan are in the midst of a frantic search for survivors buried under heaps of mountainous rubble as time is trickling fast. Friday's SOS call sent out by Chinese President Hu Jintao to allow foreign aid teams to enter Sichuan came as a result of the government's fear of more deaths.
Japan was the first to enter the epicentre, bringing along with them sniffer dogs on an en route flight, followed by South Korea and Singapore.
Risks of diseases are especially acute in the counties of Wenchuan and Beichuan, where death tolls are amongst the highest.
Senior Communist Party official Bai Licheng of Sichuan's Aba prefecture conveyed his urgencies of the needs of body bags while in Yingxiu, amid the changing weather, which hastens decomposition, quotes Asiaone News.
For now, all I could do is to earnestly pray for his safety and return.