Motoring Exchange Services (PMX), Carilar platform, has been launched today in efforts to assist people facing insurance issues. In collaboration with the Malaysian Muslim Consumers Association (PPIM) and Motorcycle Welfare and Protection Club Malaysia, this platform provides transparent price quotations with the best offers for citizens.

Complaints on Insurance - PPIM has been receiving various complaints related to insurance issues for several years, considering they are all concerning matters. PPIM wants to express concerns about issues related to fraud occurring in the insurance sector and aim to address this matter.

Among the complaints received are challenging insurance claims and instances involving lawyers deceiving to make claims, leaving users ultimately lost and unsure of what to do.

In this platform, users have the opportunity to interact with experts in the field where they are constantly deceived in insurance. The platform is not a profit centre; its sole purpose is to assist individuals in need of any type of insurance guidance.

Other Services - The platform will establish a helpdesk to address any issues related to insurance, covering a range from motorcycle insurance to airplane insurance, including life insurance and others.

There is a 10 per cent discount if you explore the platform, and it's not something we receive or give. 

Husband Bought Sex Doll From Insurance Claim

A husband who murdered his wife cashed in on her life insurance policies and spent almost $2,000 on a life-sized sex doll. Colby Trickle called 911 on the morning of Halloween 2019 to report that his wife, Kristen Trickle, 26, had shot herself dead in their home in Hays, Kansas.

A responding cop found the scene suspicious, but a coroner ruled Kristen’s death a suicide three days later and Colby was freed. Colby, an army reservist, received more than $120,000 on two life insurance policies for Kristen.

Only two days after getting the payouts, Colby purchased the sex doll.

Cops arrested Colby on July 14, 2021, and a jury convicted him in his wife’s death in November 2023. He was sentenced to life in prison with no parole for 50 years.

Medical Insurance Abused By Bank Staff

The Bank of Singapore (BOS) has conducted a wide-ranging investigation into the misuse of medical benefits by staff who made claims for ineligible items such as bird's nest. Hundreds of employees were involved in the investigation which ultimately led to some people being sacked.

Launched Investigation - BOS, the private banking arm of OCBC Group, launched an investigation last year into employee medical claims involving one of its company panel clinics. Those involved were found to have submitted claims for bird’s nest, skincare products, supplements and toothbrushes – items that are excluded under the company’s medical benefits. They were told to pay back the money for these claims.

The “more serious cases” also had disciplinary outcomes that affected people's bonuses. They also did not receive a one-off cost-of-living support of S$1,000 (US$735) for junior staff across OCBC Group.

Reports From Website - News of the dismissals and irregularities in staff medical claims at BOS was first reported by financial services careers website eFinancialCareers. The article by eFinancialCareers said that BOS had sacked up to 40 employees last week after an investigation of past medical claims. A source with knowledge of the matter corroborated that number to CNA and confirmed that the dismissals occurred over two days last week.

The claims were made under the company’s medical insurance scheme, which allows employees to claim up to S$10,500 for medical and dental expenses. The list of claimable items, includes outpatient consultation and medication issued by a general practitioner or specialist, non-aesthetic dental services, vaccinations, X-rays and blood tests.

Expenses that are not allowed to be claimed largely cover those that are not medically needed, such as cosmetic surgery, items such as toothbrushes and toothpaste, as well as care devices like wheelchairs.

BOS did not require itemized receipts for medical claims below S$200. 

EPF Account 3

The Employees Provident Fund (EPF) announced the much-anticipated restructuring of contributors’ accounts that would allow some portion of their retirement fund to be withdrawn anytime. The restructuring is a recalibration to change a decades-long system put in place to help private sector workers build old-age savings.

Account 3 - All contributors will have their savings distributed between three accounts. The percentage of contribution that goes into the first account, to be renamed “Persaraan”, will now be 75 per cent, five higher than under the replaced system. Fifteen per cent of savings will then go into the “Sejahtera” account. The remaining portion will go into the third and new account, dubbed “Fleksibel”. This account will be the portion of savings that contributors can withdraw from.

How does it work - All contributors can withdraw from the Fleksibel account which will start with zero balance. However, contributors will be given a one-time option to “front-load” some of their account 2 savings into the third account. Those who want to front-load will see a third of the 30 per cent savings they currently have in account 2 credited into the Fleksibel account, while a sixth of it will be credited into the Persaraan account.

Contributors withdrawal - Funds credited into the third account with the option to withdraw. Application to front-load can either be done on the EPF smartphone application or at any EPF branch offices.

Conditions to withdraw - No. Those with more than RM3,000 in their Sejahtera account will have RM1,000 credited into their Fleksibel account once they choose to front-load, while contributors with less than RM3,000 in the Sejahtera account will still have a minimum of RM1,000 wired into the third account. The lowest withdrawal amount permitted is RM50, and can be withdrawn anytime. Any contributor age 55 and below will have until August 31 to decide if they’d want to front-load or not.

Dividend rate - Any withdrawals will affect the dividend rate similar to the previous system. The more a contributor withdraws, the lower the rate. Inversely, this means a contributor’s dividend rate will not be affected if the contributor keeps his or her Fleksibel account untouched, even after they opted in to front-load.

Implications - The fund projected some RM25 billion would be withdrawn in the initial three-month offer period, while the monthly withdrawals after the front-loading phase would be around RM4 billion to RM5 billion. 

Medical Insurance Malaysia

Less than half of the Malaysian population is insured. Public need to have adequate medical coverage to handle unexpected illnesses in their old age. This is important especially as the country is moving towards an ageing society.

Medical Claim - Medical claim payouts had surged by 14.9%, from RM13.4bil in 2022 to RM15.4bil last year, while there was a 41.4% hike in disability payments and a 26.2% rise in medical claims. In addition to takaful - the number of people (who are insured) is about 45%. 

Counting policies per capita, it’s closer to 60%, but Malaysia is still relatively low (although) it is on a par with the overall economic development of the country.

Medical claims during the Covid-19 pandemic went down 2% in the early part of 2020 but experienced drastic increased post-pandemic. 

Premium Hike - Insurance premiums would continue to surge as higher medical claims are expected to add pressure. Senior citizens, especially those over 70, would be at risk if they can’t afford an insurance plan since they would have limited options for medical coverage.

If you’re 65 or 70 years old, you cannot buy (insurance). There’s no company willing to sell a brand-new policy to somebody over the age of 70.

Vietnam - Abuse Of Trust

Tran Qui Thanh, chairman of leading beverage manufacturer Tan Hiep Phat, and his two daughters are standing trial Tuesday for “abuse of trust to appropriate assets.” Prosecutors said they offered loans against collateral and then coerced borrowers into selling the assets at cheap prices to appropriate VND1.048 trillion (US$41.2 million).

If found guilty, Thanh, 71, Tran Uyen Phuong, 43, who is also deputy CEO of Tan Hiep Phat, and Tran Ngoc Bich, 40, face prison sentences of 12-20 years.

Between January 2019 and November 2020 the trio provided loans to many people at an interest rate of 3% per month. But instead of loan contracts, they allegedly coerced them into signing sale contracts at prices significantly lower than the actual value of the collateral.

Even when the borrowers paid back the money with interest, Thanh would use different reasons to not give back the assets he took. When the loans were repaid in full, Thanh reportedly refused to return the assets to the borrowers, claiming they had forfeited their repurchase rights due to contract breaches.

The trio is accused of misappropriating assets from four individuals, including two property projects and 35 land lots, amounting to a total of VND1.048 trillion.

Throughout the investigation, they denied the accusations. The prosecution said Thanh was the mastermind and his daughters followed his instructions. Thanh and Phuong were arrested in April 2023, while Bich remained out of custody.

Manulife Financial Advisers - 12 Year Probation

The Monetary Authority of Singapore (MAS) has issued a 12-year prohibition order against Ong Ka Yong for cheating offences. Ong, a former representative of Manulife Financial Advisers Pte. Ltd., was convicted of 11 counts of cheating under section 417 of the Penal Code on Aug 23, 2023. Under the code, cheating is punishable by imprisonment or a fine, or both. The term for imprisonment may extend to three years.

He also has 14 other cheating charges that were taken into consideration for the purpose of the sentencing. Ong was sentenced to 47 months’ imprisonment on Sept 4, 2023.

Ong had deceived 25 victims to transfer over $1.2 million to him for “fictitious investment opportunities” that were allegedly offered by Manulife and another unnamed private company between April 2020 and October 2021.

The PO, which took effect from April 22, means Ong is prohibited from performing any financial advisory services for 12 years. He is also banned from taking part in the management or acting as a director of any financial advisory firm under the Financial Advisers Act. Ong is also not allowed to become a substantial shareholder of any financial advisory firm for the period of the PO.