We have covered a lot about road accident in our Accident 101 series, from what to do at the scene of the accident and at the police station, to how to handle different kinds of insurance claims. Below are the articles in case you have missed them.
1 – What to do at the scene of an accident
2 – What to do at the police station
3 – Don’t fall victim to tow-truck scam
4 – Making a car insurance claim
5 – Making a Third Party Insurance Claim
This is our last article in the 101 series where we will be summarizing some of what had been discussed in earlier titles and talk about other frequently asked questions relating to road accidents especially in Malaysia. So let’s begin!
Road Accidents: FAQ
1. I just crashed into a car, damaging it and my own. Can I claim from my insurance?
It depends on the policy that you have, assuming that it is your fault, if you own a:
- Third party policy: No. You have to pay for your own damages. The other party however can claim from your insurance.
- Comprehensive cover: Yes, your insurance can pay for damages for both cars, but you will lose your NCD if you make a claim to repair your car.
The table below will help you understand the types of policies and their coverage:
Motor policies and coverage in Malaysia
(Suggested reading: Understand Motor Insurance Policies and Coverage)
2. I just ran over somebody’s dog, injuring/ killing it. Can the owner claim damages from me? What if the owner is suing me for damages, can I claim from my insurance?
We will address this question in two parts:
a) I just ran over somebody’s dog, injuring/ killing it. Can the owner claim damages from me?
Yes, the dog is someone’s property, hence the dog owner can claim Third Party Property Damage (TPPD) from your motor insurance. However, he will have to provide documentary and undisputed proof that the dog belongs to him to your insurer.
b) What if the owner is suing me for damages, can I claim from my insurance?
Yes, your Motor insurance will protect you from claims like the above. If your insurer is satisfied that the dog owner’s claim is valid, then your insurer will compensate the dog owner’s claim directly. You do not need to pay the dog owner and then claim back from your insurer.
3. I crashed into a tree, suffering a few broken bones and had to be hospitalized. Can I claim from my motor insurance for treatment and hospitalization cost?
No, your motor insurance does not cover for your medical costs. We recommend that you protect yourself by buying at least a Personal Accident (PA) cover. Some insurers bundle their PA with Motor insurance and it is called Drivers and Passengers Personal Accident (DPPA).
4. A motorbike crashed into my car and the police concluded that it was his fault. But I’ve been told I can’t I claim from his insurance for damages done to my car because it involves a motorbike!
This seems to be a common belief, but it isn’t true. You can in fact make a TPPD claim against the motorbike’s insurer, more so when the police are on your side. The instances where you cannot claim against the motorbike’s insurer are:
(a) his motor policy has expired or
(b) he has no motor insurance policy from the onset
In both instances, you can make a TPPD claim directly against the motorbike rider or owner, or appoint a lawyer to do so.
However, bear in mind that lawyers cost money, and the damages to your car have to be substantial enough to justify hiring a lawyer. You also have to consider if the motorbike’s rider or owner have the ability to pay you if they lose the case in court. For example, if your car’s damage is worth RM1,000 and your lawyer cost RM3,000, it may not be worthwhile to sue if the motorbike’s owner is a clerk earning RM900 month with a large family to feed.
The part where you have been told that you cannot claim from the motorbike’s insurer for damages done to your car is probably the confusion over the Knock for Knock (KFK) Agreement. The KFK Agreement is an agreement among all general insurers and general takaful operators to eliminate disputes among themselves as to who is at fault. You do not need to know about KFK as it is an internal matter among insurers and does not prejudice you from making a TPPD claim.
5. A taxi/ bus rammed my car from behind. Will I be able to claim from their insurance?
You can file a Third Party claim (link to our TP claim article), though claim involving public vehicles may not be as straightforward and could be time consuming and tedious. We highly advise you to engage a loss adjuster. You will also have to pay for the repair first and claim after.
(Suggested reading: http://www.loyarburok.com/2012/12/11/accidental-lessons/)
6. A friend who was in the car with me obtained an injury when the car I was driving skidded and hit a lamppost. He is demanding that I pay for his medical cost. What can I do?
(Suggested reading: Motor insurance additional coverage)
If you had purchased an additional cover to your motor policy called “Legal Liability to Passenger (LLP)”, your insurer company will pay for your passenger’s medical treatment cost up to a certain limit. This cover is not expensive, about RM30-50 per year depending on your car engine’s cubic capacity.
However if you don’t have LLP, you will have to bear the cost yourself, unless your passenger is able to prove that he is being carried in your car by reason of and in pursuance of a contract of employment. In simpler words, your friend needs to sit in your car as you are driving him to his workplace.
7. I was involved in a road accident with another car but I am sure it was not my fault. However, I was found guilty by the investigating officer. What can I do?
You have two choices:
(a) Appoint a lawyer and fight it out in court. Nowadays, courts are quite efficient, however, you will still need to take time off from your daily activities to attend the court hearing. Inform your insurer that you want to litigate this matter as your insurer will pay up to RM2,000 in legal fees if you get their consent in writing. It does not matter if you have Comprehensive, Third Party Fire & Theft or Third Party Cover. Usually your insurer will provide a lawyer from their panel of lawyers for ease of communication.
However, your insurer will not entertain you if this is a murder case or due to non-accident matters like speeding tickets, parking on the yellow lines, car got clamped, etc as these does not fall under the scope of motor insurance coverage.
Please bear in mind too that the court’s decision may vary greatly depending on the facts of the case. Do not be surprised if the court sided with the opposite view. We covered about this here.
(b) Take no action, as going to court is a hassle and not worth the time or effort especially if the amount involved is small. However, before you pay the traffic fine, please notify your insurer to seek their feedback especially if the police charge you under Section 41, 42 or 43 of the Road Transport Act 1987 as these are serious offenses and can carry a jail term. Please refer to question No 1 for conditions on claiming for your car’s repair costs and NCD entitlement. For an understanding of NCD, click here.
8. I was involved in a minor road accident. I paid the other party off since the amount is small and paid for my own repair without claiming from my insurance company. Do I still need to inform my insurer?
By law, all accidents must be reported to the police within 24 hours, failing which you will be fined from RM120 onwards by the police for late reporting. In addition, the motor policy stated that you have to notify your insurer accordingly, even if you have settled the matter amicably with the other motorist and you have no intention to claim. The reason is that your insurer will have early warning of an accident involving your car in case the other motorist reneged and files a Third Party Property Damage (TPPD) or Third Party Bodily Injury claim (TPBI) against your insurer.
However, realistically it is a consideration you have to take, as some insurer will immediately remove your NCD, even though you are clearly not claiming. This is galling especially if your NCD is already at 55%.
9. My brother drove my car one day and met with an accident. Will I be able to claim insurance?
With a TP cover, you cannot claim insurance from your own insurer. But if you have a TPFT, you can only claim from your own insurer if your car is damaged by fire, explosion, lightning or is stolen.
If you have Comprehensive cover, you can claim insurance from your own insurer. Take note that under Comprehensive cover, there is the “Compulsory Excess” or “Endorsement 2F”. This excess states that for any cost of repairs claim, the first RM 400 will be borne by your driver or you (if you are the one driving) under the following conditions:
a) Under 21 years old
b) Holds an “L” license
c) Holds a “P” license
d) Not a named driver
e) Any combination of (a) to (d)
In order to prevent being charged RM 400, please ensure that the driver is at least 21 years old, holds a regular driving license and is a named driver. A “Named Driver” is someone whom you have named in your motor policy. You can name two drivers free of charge and the third person onwards will cost an extra RM 10 each. Read more about it here.
Kindly note that this Compulsory Excess of RM 400 is not applicable if your car catches fire, explodes, struck by lightning, or is stolen.
10. What if my insurance company declines my claim and does not pay for damages?
You have two main options:
(a) File your grievance with the Ombudsman for Financial Services. They are located at:
Level 14, Main Block,
Menara Takaful Malaysia,
No 4, Jalan Sultan Sulaiman,
50000 Kuala Lumpur.
Tel: 03-2272 2811
Fax: 03-2272 1577
Online: http://www.ofs.org.my/en/feedback.html
The Ombudsman’s jurisdiction can be found at http://www.ofs.org.my/en/scope#jurisdiction. They will try to resolve your complaints within 3-6 months if the documents are complete. Their decision is binding on the insurer but not you if you accept the decision. If you do not accept the Ombudsman’s decision, you may proceed with other means including litigating the matter or via Arbitration.
(b) File a complaint to Bank Negara Malaysia at:
Jabatan Komunikasi Korporat,
Bank Negara Malaysia,
P.O Box 10922,
50929 Kuala Lumpur.
Tel: 1-300-88-5465
Fax 03-21741515
Email:[email protected]
Upon receiving your complaint, BNM will compel the insurer to respond to your complaint. However, BNM cannot force your insurer to pay your claim.
Have a scenario you would like us to answer? Let us know! Just drop us a comment and we would be more than happy to assist. Alternatively, you can email your queries at: [email protected]
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Tan
August 5, 2017 4:04 amBefore few days my friend’s dad due to his health problem he met with an accident & he also hit a bike rider. After one month surviving in hospital he dead & my friend’s dad also injured. Just for saving his father my friend said to police before bike rider alive he confessed he was driving the car. Plz help as to out of this situation. Thanks
Jackson
February 23, 2018 11:56 pmI accidentally hit a car’s side mirror and there was no damages done to the other car so i just drove away as the road i was heading had no cars and he was stuck in traffic.So he chased me all the way and blocked me and started shouting at me.I said sorry.As he was not satisfied he wanted make a report so i asked him to gp ahead.Will i be charged?There was damages.
Charl
April 22, 2018 1:13 amIf a wood from the lorry fell and damage my car. How do I claim this？the lorry driver just drove off… I have the number plate of the lorry.
luke
April 23, 2018 4:20 pmHi Charl,
you follow the procedure for claiming from the lorry driver’s insurance company. It is good that you have captured the vehicle number, so that you can find out which insurance company you need to contact to get paid. Here the procedure: https://ibanding.com.my/accident-making-a-third-party-claim/ . Go quickly to the policy station to make a policy report. You need to make a report within 24 hours.
I hope the answer helps. Let us know.
Ishaak
June 25, 2018 2:28 pmHi. I met with an accident where I was knocked from behind when I stopped at the junction. The driver that knocked me came down and discuss, but at the end didn’t own up nor did he make a reciprocal police report, and I can’t make any claims for the damages done to my vehicle. What are the course of actions can I take? Thanks in advance!
luke
June 26, 2018 10:10 amHi Ishaak, I assume you are already familiar how Comprehensive, TPFT and Third Party insurance work, because you wrote that you cannot claim for your own damages. I also assume that you and the other party has made a police report. Do you know already what the conclusion of the police report is?
A) If the police report says the other party is at fault, you can claim from the other insurance company. Just make sure you get an adjuster report before repairing the car.
B) If the police report says that it cannot determine who is at fault, then the case will be referred to the court. Here are the course of actions you can take:
a) If the repair is not bad. Do nothing.
b) Repair at your own cost.
c) Talk to a lawyer and find out if it makes sense to go to court.
d) If your damages are high, talk to the other party and convince him/her to admit their fault.
Unfortunately, there are no good options for you, because it is your word against the other. What is written in the police report makes all the difference.
Lin Meng Tak
September 13, 2018 6:02 pmIf a motorcycle hit a stationary car parking in front of the house (outside the house gate). Whose fault will it be? Motorcycle or Car?
Selina
September 14, 2018 10:48 amIt would be the fault of the motorcycle.
Tan Kian Wei
September 22, 2018 9:10 pmHi,I had meet with an accident yesterday.I went to log police report but I had found that one of the witness people of the acident try to discuss with Sarjan for this case as he is not who meet with this accident.He also take photos of my car wihout my permission.Is that this will affect police investigation.Any suggestion for it.I even not remember the plate number of motobikes involve in this accident as I found that my life threaten so I leave the accident place after confirm the motorist not injured.Is that any way for me to claim for my car damage via his insurance
luke
September 23, 2018 11:55 pmHi Tan Kian Wei, Thank you for your comment. Your case is a bit more complex. Can you post your case on our insurance forum? There insurance professionals will be able to help you. Our forum is http://forum.ibanding.my. When you post your question can you please clarify:
1) Have you made a police report?
2) Who is your insurance company?
3) Do you have comprehensive insurance?
4) You need to know the plate number of the motorbike to make a claim against his insurance. Does the police report state the plate number?
Laurence
January 5, 2019 6:45 pmIf someone is accusing me for driving into his gate but i didn’t do it. Whose fault is it and what should i do?
luke
January 18, 2019 4:48 pmYou do not do anything, unless the person makes a police report against you. You might want to inform your agent, so that he can check if that person has filed a claim against you.
Jessica
May 18, 2019 5:39 amHi. My father passed away in a road accident 2 years ago. He was driving a van in a high way and the lorry infront of him stopped suddenly. My father didn’t have enough time to stop and slammed into the lorry. A lawyer took up the case but there is still no any response from the lawyer. What should I do? And is it possible to claim the lorry’s insurance? How much compensation can I get?
Rae
May 23, 2019 8:23 pmWe are very sorry for your loss. It is always a difficult time to lose a loved one. If you have signed a power of attorney with the lawyer, then you need to get in touch with the lawyer to understand the status. Yes, it is possible to claim against the lorry’s insurance. We do not know how much compensation you can get, because we do not know the circumstances. But besides that, check what type of insurance cover your father had. Some car insurance includes a Personal Accident (PA) insurance that will pay a fixed amount of money. This is not from the lorry’s insurance company, but from the car insurance that your father was driving. Get a hold of the insurance and check if a Personal Accident was included.
sureshpal singh
June 26, 2020 6:23 pmDear All
A friend of mine who following repairs to his bus at a workshop was reversing the back lanes of this light industrial area when he knocked into some plate glass stored behind some shop lots. As a result, the plate glass shattered and both parties lodged police reports. The police however fined my bus driver friend RM300.
How can he be guilty of knocking into something that was stored on the road treating it like a warehouse? Can the third party claim against his Third party insurance successfully?
Rae
July 5, 2020 3:25 amYour friend damaged property of someone else with the car. It does not matter if it is a car or a building. Yes, third party can claim from the car insurance, if your friend is at fault.
Jagdish Sandhu
August 4, 2020 12:26 pmmy friend borrowed my car. He met with an accident with a lorry. The accident was sue to his negligence. IHe does not have a valid driving licence. I have a comprehensive insurance policy. Will I be able to file for insurance claims.
Thank you
Rae
August 16, 2020 1:10 amYou should try, however most likely the company will decline the claim for your own damages.
Lydia
September 14, 2020 4:46 pmI was driving on a two lane road when i decided to switch from the left to the right. There was a motorbike on the right lane however behind my car. Right after i switched lanes, the motorbike skidded on the road right behind my car. However i did signal to the right before I switched lanes . I couldn’t stop immediately so i drove a bit further and stopped to see from my rear mirror. He got up and there were cars surrounding him. There was no u-turn nearby so I just drove to my destination. Is it my fault that he skidded and will I be charged?