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News 07 April 2020

Driving less these days? Here’s how you can save on your car insurance in Malaysia

If your mileage remains within the mileage band purchased, the PrOmilej policy will pay for the fire, theft, loss or damage to your car in the event of an accident.

KUALA LUMPUR, April 7 — With the Movement Control Order (MCO) in place, most Malaysians are driving less these days.

Working from home and minimal social contact will likely be the norm for the next six to seven months. At least.

The savings made on petrol will be quite significant for those who commute daily to work but what about the car insurance?

This was exactly the question Pacific & Orient Insurance Co Berhad (P&O) had in mind when they came up with PrOmilej, a new insurance product that allows you to save up to 40 per cent in premium.

PrOmilej was designed based on the idea that people who drive their cars less should not be charged the same premium as those who drive their cars more,” said Noor Muzir bin Mohamed Kassim, P&O chief executive officer.

With PrOmilej, customers are able to save up to 40 per cent on their basic premium if they drive less than 5,000 kilometres a year, 20 per cent if they drive between 5,001and 10,000 kilometres, and 10 per cent if they drive between 10,001 and 15,000 kilometres.

Muzir said these savings are on top of the normal discount given by motor insurers based on the customer’s NCD status.

While the product was not designed for the current MCO, Muzir said this is “certainly the right product to help customers during this trying time.”

“Everyone is financially burdened at the moment, PrOmilej can help them save money. In the long term, PrOmilej can offer the same benefits to those who will work increasingly from home once we recover from the pandemic.

“Malaysia’s fast developing public transport systems, traffic density and growing affluence have created the environment where many people do not use their cars as often as they used to in the past,” he added.

“Hence the PrOmilej tagline of ‘Drive Less, Pay Less.’”

Within the mileage band you chose, your vehicle is comprehensively insured. This means while your mileage remains within the mileage band purchased, the PrOmilej policy will pay for the fire, theft, loss or damage to your car in the event of an accident.

At the same time, third party insurance cover is still included in the policy up to the next renewal even if you exceed the mileage band.

“If customers need to drive more than the mileage they have earlier purchased and still want comprehensive cover, they can purchase additional mileage by topping up the premium,” Muzir explained.

PrOmilej can be purchased via the company’s “POI2U” mobile application. The app has an additional functionality to regularly remind customers to check their mileage via the app’s inbox notification.

To read the full article, click here.

BY SYED JAYMAL ZAHIID  

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