Friday November 2, 2012

Minister: Increase in motor vehicle premiums reflect risk factor

Reports by MARTIN CARVALHO, YUEN MEIKENG and RAHIMY RAHIM

The gradual increase in motor vehicle premiums from this year was necessary to reflect the actual risk factor, said Deputy Finance Minister Datuk Dr Awang Adek Hussin.

He said the hike was needed to sustain the insurance industry which had reached a critical stage.

“Insurers had to pay RM3 for death and injury claims for every RM1 paid as premiums last year,” he said when replying to a question raised by Hamim Samuri (BN-Ledang) in the Dewan Rakyat yesterday.

Awang said the new motor insurance framework was agreed upon by the Government and the insurance industry last year.

Under the framework, insurance premium payments are being increased at a nominal rate in stages from this year until 2015.

“Those who have a lower risk profile pay lower insurance premiums,” he said, adding that factors included the age of the vehicle.

Based on a study conducted by the International Trade and Industry Ministry, Dr Awang Adek said motorists paid an average of RM3,062 annually as insurance premium for their cars here compared to RM7,960 in Singapore, RM6,736 in Thailand and RM4,593 in Indonesia.

The Government is currently in talks with financial institutions to see if a “rescue package” can be implemented to prevent loan defaulters from being hauled to court and declared bankrupts.

Deputy Minister in the Prime Minister’s Department Datuk Liew Vui Kong said legal action would still be the last resort for recovery of debts.

He was replying to a question raised by Abdul Rahman Ghani (PKR-Tanah Merah).

Earlier, Liew told the Dewan that 2,011 civil servants had been declared bankrupts by the Insolvency Department over the last five years.

More than 20,000 women nationwide have succeeded in increasing their monthly income under the 1Azam programme said Deputy Women, Family and Community Development Minister Senator Datuk Heng Seng Kie.

“Of the 23,000 women participating in the 1Azam programme, some 21,724 or 93% succeeded in increasing their monthly income by an average of RM200.

“Of this, 7,147 or more than 33% managed to increased their monthly income between RM200 and RM1,000,” she said when replying to a question raised by Nancy Shukri (BN-Batang Sadong).

The Education Ministry has implemented several measures to address the shortage of option teachers, especially in the English Language.

Deputy Education Minister Datuk Dr Wee Ka Siong there were vacancies for 1,638 English teachers in secondary schools and 271 in primary schools.

“The Ministry has introduced the Additional Option Intervention Programme which involves some 2,000 Chinese language teachers being trained for English and Malay subjects,” he said when replying to Che Uda Che Nik (PAS-Sik).

News

Friday November 2, 2012

Minister: Increase in motor vehicle premiums reflect risk factor

Reports by MARTIN CARVALHO, YUEN MEIKENG and RAHIMY RAHIM