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A group
of Philippine insurers has asked the Judiciary to
reconsider its decision exclusively granting the
Government Service Insurance System (GSIS) the privilege
of insuring the requirements of millions of vehicle
owners.
The
Philippine Insurers and Reinsurers Association, or Pira,
along with 13 other allied associations, urged the
Regional Trial Court in Makati not to deny them the
livelihood that meets the needs of 5.5 million motorists
while putting food on the table of some 60,000 insurance
agents.
The Pira
also wrote an open letter to President Arroyo on Friday
saying the GSIS will become unchallenged in a field over
which the Insurance Commission has no jurisdiction.
“Complaints will only flood the GSIS for not being able
to serve its newfound 5.5 million compulsory third-party
liability [CTPL] customers and it will strain its
ability to serve its existing members,” Pira and its
allies said.
GSIS
president and general manager Winston Garcia brushed
aside the allegations also in an open letter, saying the
insurers have overpriced their CTPLs by some P900 each.
The
overprice adds up to more than P2 billion a year and
even then those who have insurance claims “get nothing
or close to nothing.”
“When
the unfortunate time comes that you need to claim on
your policy, you get nothing or close to nothing.
“The
estimated total losses on claims run up to hundreds of
pesos,” Garcia said in an open letter appearing on the
same day as Pira’s.
He also
said switching of one’s certificate of coverage is
common, such that a policy for a four-door sedan turns
out to be one for a tricycle.
Garcia
said vehicle owners are guaranteed payment of their
insurance claims, which are cheaper by at least P575 per
policy for privately owned cars or jeepneys compared
with CTPLs costing more than P900 offered by Pira and
its allies.
The Pira
has filed its petition for reconsideration before the
Makati RTC on Thursday last week. |
