Motor Insurance Questions and Answers.
| Q. |
| A. |
Other wise called a deductible,
is the first portion of a claim for damage to your vehicle.
You are responsible for paying this amount regardless
of who is at fault. Your insurance will pay for the
remainder of the claim. The excess is usually 5% of
the Sum Insured:
| • |
Motorcar insured for
380,000 |
| • |
Accident amounting to 75,000 |
| • |
Excess is 5% of SI or 19,000 |
| • |
You absorb 19,000 |
| • |
We pay 56,000 |
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| Q. |
|
| A. |
| • |
To reduce the cost
of insurance |
| • |
To eliminate small
claims |
| • |
To protect your asset by ensuring
that you exercise due caution while driving, seeing
that you too will bear some costs. |
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| Q. |
|
| A. |
The higher excess is charged
in cases where the risk of an accident occurring is
higher than normal. These include:
| • |
Young Drivers under
21 |
| • |
Young License under
12 months |
| • |
Elderly drivers over
65 |
| • |
For “Deportee”
vehicles, the higher excess is charged based on
the relative expense of replacement parts resulting
from the difficulty in sourcing them. |
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| Q. |
|
| A. |
| |
| Standard Excess |
5% of vehicle value minimum $30,000 |
| |
License under 1 year/foreign
licence |
10% of vehicle value minimum $45,000 |
| |
Young drivers under
21 years |
10% of vehicle value minimum $45,000 |
| All Japanese Domestic Imports |
10% of vehicle value minimum $40,000 |
| |
Licence under 1 year/foreign licence |
15% of vehicle value minimum $50,000 |
| |
Young drivers under 21 years |
15% of vehicle value minimum $50,000 |
| |
| Standard Excess |
5% of vehicle value minimum $30,000 |
| |
Licence under 1 year/foreign licence |
10% of vehicle value minimum $45,000 |
| |
Young drivers under 21 years |
10% of vehicle value minimum $45,000 |
| All Japanese Domestic Imports |
10% of vehicle value minimum $40,000 |
| |
Licence under 1 year/foreign licence |
15% of vehicle value minimum $50,000 |
| |
Young drivers under 21 years |
15% of vehicle value minimum $50,000 |
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| Q. |
|
| A. |
| Year |
Private Car
Comprehensive Cover
|
Commercial
Comprehensive Cover |
| Yr. 1 |
20% |
20% |
| Yr. 2 |
35% |
30% |
| Yr. 3 |
45% |
40% |
| Yr. 4 |
60% |
55% |
| Year |
Private Car
Third Party Cover |
Commercial Third
Party Cover |
| Yr. 1 |
20% |
20% |
| Yr. 2 |
30% |
30% |
| Yr. 3 |
40% |
40% |
| Yr. 4 |
40% |
40% |
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| Q. |
| A. |
The main factor for escalating premiums is the overall poor claims experience of the motor pool. All premiums collected are pooled together to pay for claims. If there is a significant increase in the number and costs of claims within the annual contract, the entire pool will be adjusted the following year. However, your no claim bonus serves to provide a savings for those who have not depleted the pool.
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| Q. |
|
| A. |
| New Business: |
Full Payment |
| Renewals: |
50% deposit, balance due in 30 days |
| OR |
| Premium Financing |
Deposit 25% |
| Low Interest Rate |
Balance spread over 3-9 months (balance can be paid at any JN branch, Pelican Finance or NEM |
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| Q. |
|
| A. |
We certainly do. We offer premium financing through Pelican Finance Ltd. The attractive terms are as follows
| • |
Deposit 25% |
| • |
Balance Spread over
3 to 9 Months |
| • |
Low Interest Rate |
| • |
No financing on Third Party policies |
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