Regulator bars firms from canceling COVID-19 insurance

[Jonathan Fairfield]

 

BANGKOK (NNT) - The Office of the Insurance Commission (OIC) has issued a directive barring insurance companies from canceling active COVID-19 insurance policies, following yesterday controversial decision by one firm to terminate COVID-19 insurance packages they have been offering.

 

The Office of the Insurance Commission (OIC) yesterday issued a directive prohibiting insurance companies offering COVID-19 insurance packages in Thailand from terminating active contracts already held by their clients.

 

The decision was made following an announcement of insurance contract termination by the firm Syn Mun Kong Insurance, telling clients their COVID-19 insurance packages with the firm will be terminated within 30 days.

 

The OIC Secretary General, Suthiphon Thaveechaiyagarn said the office disagrees with the firm’s decision as doing so is considered taking advantage of customers, while the firm has never given notice to the OIC as the regulator.

 

The OIC has instructed Syn Mun Kong to continue honoring the contracts already in existance, allowing existing customers to file claims according to their cover. While the company may consider discontinuing such offers to new customers if they wish, it may not terminate contracts held by existing ones.

 

Mr Suthiphon said the OIC, as the registrar, can still enforce a lawful mandate against Syn Mun Kong, forcing them to pay claimed compensation according to existing contracts.

 

The OIC’s directive yesterday, is applicable to all insurance firms offering COVID-19 insurance packages, effectively waiving an insurance company’s right to terminate a contract.

 

-- © Copyright NNT 2021-07-18

 

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[Fex Bluse]

Whole society is an absolute mess. 

 

I note nearly all the voices of "Thailand has done so well" have mysteriously logged off the forum. 

 

Mayne back to their normal government job tasks 

 

[madmitch]

That's a first........I've just "liked" an NNT announcement!

[pokerface1]

As we are reading this piece of good news the directors are stuffing their suitcases with cash ready to make a quick exit. Insurance companies who don't have underwriters are often just scammers out to fleece their customers.

[Misterwhisper]

30 minutes ago, madmitch said:

That's a first........I've just "liked" an NNT announcement!

You should be worried. Please seek psychiatric counseling immediately! LOL

[BritManToo]

1 hour ago, Fex Bluse said:

I note nearly all the voices of "Thailand has done so well" have mysteriously logged off the forum.

They'll be back!

 

PS. Surprised that a Thai firm has been told to honour it's existing contracts. Wonder if they will obey the ruling?

Edited July 18, 2021 by BritManToo

[hotchilli]

4 hours ago, Jonathan Fairfield said:

The OIC has instructed Syn Mun Kong to continue honoring the contracts already in existance, allowing existing customers to file claims according to their cover. While the company may consider discontinuing such offers to new customers if they wish, it may not terminate contracts held by existing ones.

I would think that was mandatory... if not, and they won't pay-out on the insurance send the bill to Prayut.

[Lemonltr]

Asymptomatic and mild covid cases should not be sent to hospital. Just isolated, its an unnecessary expense. 

[ukrules]

1 hour ago, Lemonltr said:

Asymptomatic and mild covid cases should not be sent to hospital. Just isolated, its an unnecessary expense. 

We've always known that. This company deserves to lose its license and be delisted from the stock exchange.

 

It effectively announced that it's defaulting on any contracts - their word as an honourable insurance company (lol) is now worth nothing.

 

[harrry]

18 minutes ago, ukrules said:

We've always known that. This company deserves to lose its license and be delisted from the stock exchange.

 

It effectively announced that it's defaulting on any contracts - their word as an honourable insurance company (lol) is now worth nothing.

 

Disappointing.  They have served me well for the last 10 years with class 1 motor and I have recommended them but I doubt I will now