Need for.Insurance Reform Act

[TopSage]

Many singaporeans have experienced
refusal by insuramce companies to payout.
When they refuse to pay there is little you can do.
The insurance companies have strong legal team to fight you in court and ordinary
singaporeans often cannot afford high cost of engaging lawyers.
Insurance companies csn also include terms and conditions that render
a policy useless. Consumers procuring policies have not technical expertise to assess
the cost effectiveness of insurance policies.
This unregulated environment
has over time led to abuses.

One area that need to be strengthened is disclosure
of key parameters such as payout ratio, claims success rate,
etc:

timely disclosure of the following information:

• Claims payment policies and practices

• Periodic financial disclosures

• Data on enrollment

• Data on disenrollment

• Data on the number of claims that are denie
• Data on rating practices

• Information on cost-sharing and payments with respect to out-of-network coverage

• Information on enrollee and participant rights under this

While such legislation is common place in
other developed countries, the PAP has strong ties to businesses and often
reluctant to implement to implement legislation that will aid ordinary singaporeans
if the profits of these companies are affected.

 

[kopiuncle]

I believe all the terms and conditions are all there for all to read
if those who are covered do not bother even to read and understand those strict terms and conditions and when they fail in their claims, it is their fault. nothing to do with the company at all...

what reforms are necessary?

the companies are all transparent - no hidden agenda.

if after reading the terms and conditions, we do not want to buy, it is okay..

the only thing I do not like is the OPT OUT system which to me is rather dictatorial and draconian...it's like a big bully pushing down the policies into your throat forcefully....

we should look into the following:

the amount of co payment
the deductible
the premium
the extent of the coverage
they should have NCB for those who do not file any claim - some form of incentives

increasing the premium for old folks and retirees is a very painful thing...I hope the REFORM will address this issue...

 

[TopSage]

the question in cost effectiveness and implementation.
without more information except the term sheet
the layman is not equip with the maths and statistic
to know if he is buying a lemon. that is why transparency on
payout is necessary even in Las Vegas. the slot machine payout is known
before you put in your coin. Success rate of claims can be used to assessed if the insurance acted in good faith and with they will.used all means to block claims. Knowing just all the terms is insufficient as they may require you to sue them to get your money....

I believe all the te
rms and conditions are all there for all to read
if those who are covered do not bother even to read and understand those strict terms and conditions and when they fail in their claims, it is their fault. nothing to do with the company at all...

what reforms are necessary?

the companies are all transparent - no hidden agenda.

if after reading the terms and conditions, we do not want to buy, it is okay..

the only thing I do not like is the OPT OUT system which to me is rather dictatorial and draconian...it's like a big bully pushing down the policies into your throat forcefully....

we should look into the following:

the amount of co payment
the deductible
the premium
the extent of the coverage
they should have NCB for those who do not file any claim - some form of incentives

increasing the premium for old folks and retirees is a very painful thing...I hope the REFORM will address this issue...

 

[kopiuncle]

...........
before you put in your coin. Success rate of claims can be used to assessed if the insurance acted in good faith and with they will.used all means to block claims. Knowing just all the terms is insufficient as they may require you to sue them to get your money....

if any company adopts such an attitude, it will soon collapse
I think it is fool-hardy to adopt such an attitude....I don't think any sensible company will resort to such legal action
they have a panel of experts to advise them...anyway in most cases, if not all cases, they will WIN the case....

 

[TopSage]

if any company adopts such an attitude, it will soon collapse
I think it is fool-hardy to adopt such an attitude....I don't think any sensible company will resort to such legal action
they have a panel of experts to advise them...anyway in most cases, if not all cases, they will WIN the case....

I can see ypur logic that preserving reputation
is.essential.and.the industry can self.regulate.
Experience from.US show this.is.not true and greed in
the industry will.gravitate insurance companies.to
deny claims to.enhance.profitability then.using advertising
to promote its brand.

When Tan Kin Lian ran NTUC Income as a coorporative
it put a check on the whole.industry ...now NTUC is.as bad as any commercial americanised insurance companies so a dose of regulation is neededs

 

[kopiuncle]

let me illustrate one simple example of a company which refused to pay up to a widow ....

member died following an argument with a friend during a business meeting. member was only 32 years old. he had a son 7 years old. wife not working. he ran a book store...but thinking of expanding ....he had a bout of elevated blood pressure, burst his artery and died...widow filed a claim.the cover was one million upon death of insured.....

the company did a a thorough search and eventually found that the deceased had in fact one episode of elevated blood pressure treated by his own GP...only for a short period. but deceased did NOT declare in his application.

the widow did not get a single cent from the insurance company. talking about profit and goodwill...these companies are heartless...if you fail to declare any pre-existing illness, you will not get a single cent....that's the cruelty of life...the stark reality.