Insurance Guide

In Hong Kong, as in almost every other city, there are many key things car owners need to know before they hit the road. Firstly, they need to have a license in order to legally operate the vehicle, and secondly, they need to secure motor insurance. The issue with the latter is that, while it is legally required, there are different types of car insurance plans available, and numerous providers in the city offering these plans. In truth, it can be a bit of a chore finding the best insurance for you. In an effort to help make the whole motor insurance process easier for people in Hong Kong, Ken Chung, Kwiksure's Motor General Manager, joined one of the city's most popular radio shows for an interview that covered a wide variety of topics around motor insurance in Hong Kong, as well as what car owners need to know.

In many countries in the west, the price of oil and gas has dropped substantially. So much so that some people have questioned whether electric cars are really all they are cracked up to be, especially due to the cost of some of the machines. That being said, there has been exciting news around electric cars introduced in the past few months, including the long awaited introduction of the stunning and super speedy Tesla X , the announcement that Volvo will start producing electric cars for release in 2019, and the impending release of the sporty Song Hybrid Electric SUV from Shenzhen-based BYD. Beyond that, Tesla owners have recently seen a feature called Autopilot turned on , which we think is possibly one of the coolest things pretty much ever. What we are trying to say here is that the electric car market is really starting to find its stride and can offer some great benefits to car owners in Hong Kong. Here are 4 of the most interesting.

In a perfect world every car that rolls off the assembly line would be a shining example of quality; riding all shiny and chrome well into the future. In reality, as an article published in Forbes points out , your car is probably not going to last much more than 250,000 miles (402,336 km), or around 10 years. Keep in mind that these figures are for vehicles with good quality ratings that have been maintained properly (e.g., the owner follows manufacturer maintenance guidelines) and have not been in an accident. Of course there are stories out there of some vehicles, especially older Toyotas and Hondas, that have reached well beyond the 400,000 km mark with some even going over 800,000 km with little to no problem, but these are few and far between. In fact, most of the stories we hear about cars revolve around poor quality. Talk to anyone who has owned more than one car and you can bet that you will eventually hear a story about a car of such poor quality that it leaves a sour taste in your mouth, like a lemon.

n recent articles Kwiksure has taken a close look at some interesting issues that have cropped up in the motor insurance industry including the borderline fraudulent treatment of the betterment clause and five common complaints our clients have had with the car insurance claims in the city. To recap, the five most common complaints are: Betterment is treated unfairly resulting in parties not receiving full settlement The current claims process demands a tremendous amount of resources and time for all parties involved Some unscrupulous insurance companies drag their heels after judgment when it comes to payment of claims If you are at fault, you are guaranteed to get demerit points - even for the smallest of accidents The process has led to the police, as well as insurance agents, to push for a solution that could open you to future liability To learn more about these complaints and what has led to them, please read our article here . In fact, it would be a good idea to quickly scan over this article now, as it covers some important changes that Kwiksure would like to see made to the claims process in order to make it not only fair for customers, but also more efficient for both the police and the insurance companies. At Claims Conference Asia - Hong Kong earlier this year, Neil Raymond, MD at Kwiksure, actually took to the stage and presented to the delegates Kwiksure's suggestions as to the changes that can be made to the claims process in Hong Kong.

If you have ever been in an auto accident in countries like Canada or the UK, you know that small accidents that do not lead to injury are handled by insurers directly, with the party not at fault receiving payment in a relatively short amount of time - usually under two weeks. Here in Hong Kong, this is not the case. In fact, many parties will end up waiting six months to a year or more to receive payment from an insurance agent even if the accident is as inconsequential as a fender bender. This, along with a number of other common complaints, including one that was highlighted in our last article, point to a claims system that needs a massive overhaul. Complaints with the claims system in Hong Kong When looking at the claims process used by car insurance providers in Hong Kong, there are five common complaints that point to issues that need to be fixed in order to make the claims process better for all parties involved.

Check The Car Before Purchase The first thing you should do is check the car's service history to confirm the mileage stated by the seller. An independent source can ensure this, and that the car is in good running order. The Hong Kong Automobile Association offers this service (391 Nathan Road, Yau Ma Tei, Kowloon, Tel: 3583 3628)

The issue of ‘Betterment’ How would you feel if you owned a car, was in an accident that was not your fault, and had an insurance provider offer to pay 70% of the value of the parts arguing that they actually ‘made the vehicle more valuable’? Chances are high that you probably will not be happy being stuck with a parts bill and ultimately a car with a decreased value because of the accident. While this may seem unfair, it’s a common practice of Hong Kong insurers to do exactly this. Before we explain about this practice, it would be a good idea to first establish how insurance compensation should work in the city.

'Deductible', also known as 'excess', is a pre-set amount in an insurance policy that the policyholder is required to pay to the insurer when a claim is made. For example, if the total amount of a claim is HKD $15,000, and the policy has an excess of HKD $5,000, the policyholder will then have to pay the deductible of HKD $5,000, and the remaining HKD $10,000 of the claim will be paid by the insurer. The amount of the deductible may vary with individual insurers. Deductibles vary by insurer and also by policy. Some policies have very high deductibles, while others may have no deductible at all. Generally speaking, the higher the excess, the lower the premium, and vice versa. Therefore, when comparing different car insurance plans, the excess is also an important consideration in addition to the premium. Hong Kong law does not set a minimum requirement for the sum insured for property damage, but most local insurers will provide third-party property coverage of HKD $2 million. Car insurance policies typically come with several deductibles, which may take effect depending on the situation or personal attributes of the insured when a claim is made.

Life insurance: you could say it’s a misnomer. In reality, life insurance only comes into effect upon your death, and because death is just a tad unpleasant to consider, many of us don’t think about life insurance – until it’s too late. Buy life insurance when you’re healthy and sound of mind, and you’ll be protecting yourself, your assets and your family for generations to come. Luckily, life insurance isn’t a one-size-fits-all product: you can cover yourself for the short term or the long term, you can pay a little or a lot, and most importantly, you can find a policy that both fits your budget and provides your family and yourself with everything you need. Still not convinced? Read on for the top five reasons you should consider getting life insurance.

EV’s, or electric vehicles and cars, are still an enigma to many drivers. Although a lot has been written and spoken about them in recent times, they remain something of an unknown. Because of this, not many people have made the switch from petrol or diesel cars. Yet, looking ahead, one thing is absolutely certain -- we will all be driving electric cars in the not-too-distant future. Here, we dispel some of the myths and highlight the advantages of owning an electric car.

Summer is finally here, and for most people that means just one thing: it’s finally time for some much needed rest and relaxation. Ideally, when leaving home for more than just a few days, you want to put your home in the hands of a trustworthy house sitter. It’s one of the safest ways to make sure nothing bad happens while you are away. But if finding a friend to house sit isn’t an option, here are a few important tips you should review before skipping town, to make sure your summer getaway is as stress-free as possible.

Regarded as one of the more leisurely and relaxing games that people of all ages can play and enjoy, golf is the sporting choice for many men and women around the world seeking a non-contact sport. There are numerous health and fitness benefits to playing golf, such as spending several hours walking around a course and being to the elements, however good or bad they may be. But like all sports, golf does come with a risk. Accidents and injuries can affect even the most healthiest and fittest of golfers, regardless of age and ability. With this in mind, we look at the type of accidents that occur most frequently on the golf course.