Remember typhoon Ondoy and the number of cars that were submerged and ultimately destroyed by flood waters? Most of them had insurance but they forgot one thing — they did not include act of God in their insurance coverage. Well, maybe not all of them but most of them didn’t have this clause which means they wouldn’t get any centavo from their insurance.
Here’s a nice article on how to get a car insurance in the Philippines written by Joel Mangilit of Mapfre Insurance Corporation:
Guide to Getting Car Insurance in the Philippines
by Joel Mangilit, Philippine Licensed Insurance AgentIf you are looking to get car insurance in the Philippines, it is important to get the right amount of coverage from the right Philippine insurance company.
First, what is the right coverage? A lot of people usually get car insurance to protect their car from theft or damage. But what is more important is to get third party liability coverage. And get as much as possible.
For example, a slow 10kph car hitting a pedestrian may result in hospital bills of P100,000 and more. To financial protect yourself, try to get at least a P100,000 coverage for third party bodily injury and another P100,000 cover for third party property damage.
And actually, increasing these coverage to P500,000 or P1M will not increase your premium significantly, so try to get as much third party (both bodily and property) as you can afford.
Second, it is really important to get your insurance from the right insurance company. What is the right insurance company? It is one that makes every effort to pay valid claims, and pay promptly.
Be very wary and careful of insurance companies that offer very low quotes. Sure you pay less initially, but when it comes to making insurance claims, how sure are you that you will even get paid? So check around, ask your friends and relatives about their own experience with their insurance company.
To summarize, get comprehensive car insurance coverage with a lot of third party liability cover. And do a little research to find out the reputation of the insurance company when it comes to servicing and paying valid claims.
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Well Joel Mangilit is so right about looking for the right car insurance and the insurance company that he represents is not a very good company to consider. I am a Ondoy flood victim with Acts of God coverage from MAPFRE Insular and to this very day (6mos since our vehicle had been picked up from our house and brought to MAPFRE's certified garage Auto Express Care). Our vehicle according to Honda Philippines considers our vehicle a total loss, but MAPFE is determined to repair our vehicle. They had voided our Honda warranty by not taking it to a Honda service department. Auto Express Care has replaced some of the car parts with local and used parts. They detailed only the front view of the vehicle and not underneath. Our vehicle still has many rusted parts. We are currently in a hearing at the Insurance Commission. So please take your insurance shopping very seriously and check out all companies for claims of fraud.
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