Bank misleads lawyer buying a wrong policy. It is often that the banking stuff takes for granted lawyer would understand all the insurance term, clause, warranties, and exclusion.
Missing Gold necklace
I recalled my own brother case years ago.
“Jamin, since you are in the insurance industry, can you help me to claim your sister-in-law gold necklace?”
“How did she lose it?”
“She placed the necklace on her dressing table locker after a late wedding reception in Singapore. After coming back from our Sunday breakfast with the kids. she discovered the maid was gone. The necklace was missing too, thus she suspected her maid took it.”
Theft Policy
He brought a theft policy from his neighbor, a retired secondary English teacher. I was not able to help him as I had a marine claim need me to finalized.
While on my way to the bank, I met my lawyer named Miss Y.
“Jamin. would you please help me to study my burglary policy?”
“Why out of sudden, you need to buy such insurance? I said sarcastically to her.
She explained to me that she has lost 5k dollars over 2 incidents, 1st 3k in cash and followed another 2k. She believed her staff it took it. There was no sign of forcible entry or a CCTV being installed in her posh office.
“Is it a full theft policy ?” I asked her.
“What is full theft insurance?” she questioned me.
“You are a lawyer, you are pulling my leg!”
“Jamin, I really don’t understand all the jargon words. I just locked it in my locked safe.”
Full Theft
It is an optional cover, is available to certain qualified clients on payment of additional premium. It covers theft even if there are no signs of breaking in or out pane or tile to claim for theft if you have this extension.
Duplicate/Master Key
For instance, using duplicate or master key or even that you are tricked into opening the door for thieves would be covered. It is a higher risk cover with an additional premium. It is also for this reason that this cover is not given to just anyone, especially those with high moral hazard. It is not a standard alone policy, you need to have other class of insurances with the same insurer.
My brother case was the job of the maid who absconded the gold necklace and also the lawyer’s staff who was 5k dollars richer. The full theft extension would response for both the events even though there was no sign of forcible entry or exit
Excess
There is an excess of 250 dollars under this optional. This means that you will have to bear the first RM250 for every claim involving theft where there is no sign of forcible entry or exit. If the lost is 5k dollars less 250 excess. The quantum claim amount will be 4750 dollars.
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Thanks
Hey thanks for the info. I had no idea about this. Will have to take a closer look at my own policy’s.
Thanks for reading my article and giving valuable comment.
You have to look for the exclusion clauses and also what does the policy cover. If it is not what you need, call your agent to make amendment until you are satisfied with it.
I also heard a story about 2 days ago on how bank specialist are doing illegal stuffs to upsell services to clients. Thanks for sharing this Jamin.
Thanks for reading my article and valuable comment.
It is a normal to a bank to upsell your to make a profit. Bank staff are being trained to do for those ignorant public
Thanks for this, I don’t think I have theft in my condo insurance policy. I will check again after reading this. This is not the first maid to steal. Really too bad.
Thanks for reading my article and valuable comment. Theft is every where the condo is no exception.Always go for full theft policy with a little bit of extra premium.
My first thought was I’m surprised a bank tried to pull this on a lawyer, of all people! Wow. Interesting read. Thank you.
Thanks for reading my article and valuable comment. Not all lawyers understand insurance jargon unless they study insurance law.
Really great info here, and it makes it all easier to understand. My brain was not designed with insurance policies in mind and it all get confusing to me, so I’m glad to find articles like this. And that last video was scary!
Thanks for reading my article and valuable comment. Everyone need an insurance policy nobody knows when the unfortunate event will strike.
To some people, they label banks as a” well-established thieves” in a crude manner. It does not turn out to be a surprise to me and I’ve actually seen how pragmatic and cruel are the bankers especially when they are dealing with outstanding borrowers who can’t clear their debts. Banks exists to earn profit on top of just offering services to safeguard everyone’s money.
Thanks for reading my article and giving valuable comment.
Yes, I totally agreed with you. I had seen it myself. Bank chase after rich people to lent them money, the poor chase after the bank to borrow money.
Good that “Full Theft Cover” is available only for qualified clients. Otherwise insurance companies will lose a lot with many crooks who would exploit that policy. I only hope the insurance companies have got all the loopholes covered.
Thanks for reading my article and giving valuable comment. Indeed, the crrok does not deserve to hanve any insurance due to high moral hazard character.