Revocation of Car Insurance Policy for Non-payment of Insurance Premium Instalments

Debated in Parliament on 3 Jul 2023.

Summary written by AI (learn more)

Lim Biow Chuan questioned if motor insurance companies can revoke policies for unpaid premium instalments and whether this leads to uninsured driving, noting that drivers found uninsured face fines, jail, or driving disqualification.
S Iswaran confirmed that insurers may cancel policies for breaches like non-payment after reminders or grace periods, and highlighted penalties for uninsured driving.
The debate underscores that policy revocation for non-payment is legally permitted and results in serious consequences for motorists who drive without insurance.

Questions identified by AI (learn more)

Full Transcript

Lim Biow Chuan

Mr Lim Biow Chuan asked the Minister for Transport (a) under current legislation, whether motor insurance companies are allowed to revoke a car insurance policy when the instalments for the insurance premium are unpaid; and (b) whether this will result in a motorist driving a car without insurance cover.

S Iswaran

Insurance companies may cancel a motor insurance policy if the policyholder breaches any terms and conditions, including non-payment of insurance premium instalments.

If the policyholder fails to make payment despite reminders or within the grace period given by the insurance company, the insurance company may decide to cancel the policy.

Any person found guilty of driving an uninsured vehicle may be fined up to $1,000 or jailed up to three months or both. In addition, the offender will be disqualified from driving for a period of 12 months.

Summary written by AI (learn more)

Lim Biow Chuan questioned if motor insurance companies can revoke policies for unpaid premium instalments and whether this leads to uninsured driving, noting that drivers found uninsured face fines, jail, or driving disqualification.
S Iswaran confirmed that insurers may cancel policies for breaches like non-payment after reminders or grace periods, and highlighted penalties for uninsured driving.
The debate underscores that policy revocation for non-payment is legally permitted and results in serious consequences for motorists who drive without insurance.

Questions identified by AI (learn more)

Revocation of Car Insurance Policy for Non-payment of Insurance Premium Instalments | PAPERCUTS

Revocation of Car Insurance Policy for Non-payment of Insurance Premium Instalments

Debated in Parliament on 3 Jul 2023.

Summary written by AI (learn more)

Lim Biow Chuan questioned if motor insurance companies can revoke policies for unpaid premium instalments and whether this leads to uninsured driving, noting that drivers found uninsured face fines, jail, or driving disqualification.
S Iswaran confirmed that insurers may cancel policies for breaches like non-payment after reminders or grace periods, and highlighted penalties for uninsured driving.
The debate underscores that policy revocation for non-payment is legally permitted and results in serious consequences for motorists who drive without insurance.

Questions identified by AI (learn more)

Full Transcript

Lim Biow Chuan

S Iswaran

Insurance companies may cancel a motor insurance policy if the policyholder breaches any terms and conditions, including non-payment of insurance premium instalments.

If the policyholder fails to make payment despite reminders or within the grace period given by the insurance company, the insurance company may decide to cancel the policy.

Summary written by AI (learn more)

Lim Biow Chuan questioned if motor insurance companies can revoke policies for unpaid premium instalments and whether this leads to uninsured driving, noting that drivers found uninsured face fines, jail, or driving disqualification.
S Iswaran confirmed that insurers may cancel policies for breaches like non-payment after reminders or grace periods, and highlighted penalties for uninsured driving.
The debate underscores that policy revocation for non-payment is legally permitted and results in serious consequences for motorists who drive without insurance.

Questions identified by AI (learn more)

Revocation of Car Insurance Policy for Non-payment of Insurance Premium Instalments

Summary

Questions Identified

Full Transcript

Lim Biow Chuan

S Iswaran

Summary

Questions Identified

Revocation of Car Insurance Policy for Non-payment of Insurance Premium Instalments

Summary

Questions Identified

Full Transcript

Lim Biow Chuan

S Iswaran

Summary

Questions Identified