Malaysia Vehicle Insurance Claim Procedures

Accident Claims

When you are involved in an accident, you may either make an own damage claim or a third party claim if your Policy is under Comprehensive cover :-

a) Own Damage Claim

This refers to making a claim on your own insurance policy, i.e. you have a comprehensive policy. However, you will lose your NCD entitlement.

In notifying your insurance company of the accident, enquire about the names of approved workshops to send your vehicle for repair.

Submit the fully completed Motor Accident Report Form together with all supporting documents as soon as possible to your insurance company.

The workshop will commence repairs on your vehicle upon the approval of your insurance company.

Upon completion of repairs, you will be informed by the workshop to collect your vehicle.

b) Own Damage Knock-for-Knock Claim

There are times when your third party is clearly at fault and has been charged by the police for being the cause of your accident. If you can provide the proof from the police to your Insurer, you can then submit an ‘Own Damage Knock-for-Knock claim’ which is the almost the same as an own Damage claim except for the fact that your NCD entitlement will not be affected.

c) Third Party Claim

You may make a third party claim if you are not the party at fault in the accident and you can retain your NCD entitlement.

There are two ways of making a third party claim, i.e. submit the claim directly to the insurance company of the party at fault or, if you have a comprehensive policy, submit the claim to your insurance company. You are encouraged to submit your claim to your own insurance company for speedier claims processing.

As the third party claimant, you are required to mitigate your loss i.e. you must act to minimize your loss.

Appoint a licensed adjuster to assess the loss. The workshop or the third party insurance company may advise you on this.

Submit the adjuster’s report and the fully completed Motor Accident Report Form together with all supporting documents as soon as possible.

You are eligible to claim from the third party insurance company for `compensation for actual repair time’ (CART) and compensation of excess. For the actual repair time of your vehicle, this is based on the adjuster’s recommendation on the number of days required for your car to be repaired. Insurance companies, at their own discretion, may allow an additional seven working days for any unforeseen or unavoidable delay.

Theft Claims

After submission of the claim form, you must cooperate fully with your insurance company or its representative during the course of investigation of the theft claim.

In view that the police and your insurance company will require time to investigate your claim, you should receive the offer of settlement from your insurance company normally within six months from your theft notification or upon completion of the police investigations into your theft, whichever is earlier.

If your vehicle is recovered before your claim is settled, you may withdraw your claim if the vehicle is in good condition. If it is damaged, you may convert your claim into a repair claim instead. If it is seriously damaged, you may be offered a “total loss” settlement instead.

In the event the police has charged the thief and your vehicle is produced as an exhibit, you may be called to court to identify your vehicle during trial.

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