Regulator bars firms from cancelling Covid-19 insurance

THE Office of the Insurance Commission (OIC) has issued a directive barring insurance companies from cancelling active Covid-19 insurance policies, following yesterday’s (July 16) controversial decision by one firm to terminate Covid-19 insurance packages they have been offering, NNT said today.

The decision was made following an announcement of insurance contract termination by the firm Syn Mun Kong Insurance, telling clients their Covid-19 insurance packages with the firm will be terminated within 30 days.

OIC Secretary General, Suthiphon Thaveechaiyagarn said the office disagrees with the firm’s decision as doing so is considered taking advantage of customers, while the firm has never given notice to the OIC as the regulator.

The OIC has instructed Syn Mun Kong to continue honouring the contracts already in existance, allowing existing customers to file claims according to their cover. While the company may consider discontinuing such offers to new customers if they wish, it may not terminate contracts held by existing ones.

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