PETALING JAYA: Most home insurance policies provide coverage for damage caused by explosions, but policyholders should check with their insurers to better understand their entitlement, says the General Insurance Association of Malaysia (PIAM).
“Compensation is typically based on rebuilding costs,” it said, advising customers to also read the product disclosure statement to determine their coverage.
“Policyholders should consult their agent or their insurer, as coverage terms may vary between insurance providers,” PIAM said in a statement following Tuesday’s gas pipeline fire in Selangor, which affected 237 premises.
According to the association, these are the key areas of coverage:
• Fire Damage: Direct burning, heat, smoke, and extinguishment water damage;
• Homeowners Policy: Damage from blasts, including gas pipeline explosions;
• Commercial Fire Policy: Coverage for explosions (refer to policy terms);
• Medical Health Insurance Policy: Treatment for injuries;
• Personal Accident Policy: Covers permanent disablement or death; and
• Comprehensive Motor or Third-Party Fire and Theft Policy: Covers fire-related vehicle damage.
According to PIAM, the affected homeowners should contact their insurers as soon as possible to initiate a claim and seek guidance on the claims process.
“Before cleaning up, document the damage with photos and videos to support an insurance claim. Make a list of damaged items, including their brand, model and serial numbers where possible.”
PIAM said that the homeowners should obtain written approval from their insurer before proceeding with any house repairs, including emergency work.
“Unauthorised work may not be covered by your homeowner policy/certificate.”
PIAM said affected policyholders should contact their respective insurers for guidance on claims procedures and coverage details soon, even if they have not been able to return home.
For the list of general insurance companies, visit the PIAM website at www.piam.org.my.
Homeowners may also call 03-2274 7399 or e-mail pic@piam.org.my for assistance.
As for the payout for victims PIAM said that this had yet to be determined, but its members would assess the situation as claims are received.
“We recognise the emotional and financial toll this tragic event has had on families and business owners. Our industry is committed to making the claims process as smooth as possible, ensuring policyholders receive the assistance they need,” said PIAM chairman Ng Kok Kheng.
