Car-Insurance Cheats, Watch Out

Car-Insurance Cheats, Watch Out

Criminalise false accident reporting to insurers.

DRIVERS who make false statements on a vehicle accident to insurance companies, take note.

The Motor Insurance Taskforce, set up last September to address the issue of rising motor- insurance premiums, said yesterday that it is proposing to criminalise false accident reporting to insurers.

The taskforce’s members include the Consumers Association of Singapore (Case), the Automobile Association of Singapore, the Land Transport Authority and the General Insurance Association of Singapore.

The taskforce added that it has put up the recommendation as there could be cases of dishonest accident reporting when drivers try to shift the responsibility for an accident onto another party.

By doing so, they would not have to make a claim with their motor-insurance company.

Drivers who do not make claims for a year enjoy a discount on their motor-insurance premiums for the following year.

However, a false report could result in the aggrieved party hiring a lawyer to defend him, and these legal costs would be included in one of the accident claims.

Read full news report HERE.

Last Updated On:
Monday, March 2, 2015
Categories: Motor NEWS