United Arab Emirates – Car agencies impose immediate insurance settlement
Monday, 07 06 2015, Category: Insurance and Reinsurance, Country: U.A.E
Car agencies are now rejecting their previous payment agreements with insurance companies and they are currently requesting cash or check payments before they start repairing a car or delivering it to customers due to the delays of insurers in settling dues, which reflect negatively on the interests of customers and also delay the delivery of cars.
Experts of the insurance sector said that there should not be delays in settling fees related to car repairs.
The Insurance Authority told “Al Roeya” that the conflict with car agencies does not concern all companies as they only received one complaint.
And it also said that it forces the company to pay the repair costs to the insured so that he can receive his car without being affected by possible financial conflicts between companies and agencies.
And it clarified that the issue is related to the nature of the contract issued between insurance companies and agencies. Most of the time the insurance companies do not settle due amounts immediately as it waits until it is confirmed that there is not negative feedback when the car is used in case internal parts are repaired.
Source: Al Roeya - UAE