PETALING JAYA: Families living near hillslopes say they face not only the threat of landslides and floods during heavy rains, but also falling property value and higher insurance premiums, which add to their anxiety.
One resident in Ulu Kelang, Ranie Hamzah, said homeowners around Taman Melawati, Bukit Antarabangsa and Ukay Perdana worry about their safety every time it rains heavily.
“At the same time, their property value is affected because potential buyers are reluctant to invest in areas seen as high risk.
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“We fear another landslide every time the monsoon comes.
“The authorities say they are monitoring the slopes but we don’t see much being done.
“It makes us anxious about our families’ safety,” she said.
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In 2019, a landslide in Taman Kelab Ukay near Ulu Kelang forced the evacuation of dozens of residents, while earlier incidents in 2012 and 2006 damaged homes and roads in the surrounding area.
Ranie added that insurance is often a grey area in such situations.
“Some neighbours have coverage, others don’t, and we are never sure whether claims would be honoured if something happened. That uncertainty makes it worse,” she said.
While insurance policies covering natural calamities are generally available, Bukit Bandaraya Residents Association adviser Datuk M. Ali said high premiums add to the strain for many families.
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“The bigger issue remains in governance, not insurance,” Ali, who is also the chairman of Selamatkan Kuala Lumpur (SKL), said.
Ali, who has long campaigned against unsafe developments, said repeated tragedies such as the Highland Towers’ collapse in 1993, fatal landslips along the route to Cameron Highlands, the Batang Kali landslide in 2022, as well as incidents in Penang and the Klang Valley highlight systemic weaknesses in planning and oversight.“Our authorities are not well prepared to handle unforeseen consequences.”
Ali added that the consequences of poor planning are not just physical risks but also emotional and financial burdens for families.
Living near slopes, he said, has created constant anxiety, especially during the monsoon season, when residents brace for possible landslides or floods.
Insurance consultant Leonard Tan said homeowners may face additional clauses and tighter conditions imposed by insurers after the increased risk of soil erosion in the areas is taken into account.
He said coverage against landslides is considered a “special peril” and comes as an add-on called “subsidence and landslip” to a standard homeowners insurance policy.
Tan said the coverage would mean forking out additional premiums almost doubling the cost of a standard policy.
“If the house is valued at RM500,000, the cost of the standard homeowners insurance policy would be about RM450.
“One would need to shell out another RM405 for the additional coverage for landslides.”
To determine the level of natural disaster risk in a township, Tan said insurers refer to underwriting data to assess whether an area has a history of landslides or floods.
“The risk levels rises if a house is surrounded by perils such as a hill or if it is built on a steep slope.
“If the insurer finds the risk to be too high, they may decline coverage for landslides or impose an excess clause. It is understandable as they are sharing a higher risk,” Tan added.
Real estate sales consultant Raj Diran said houses located at townships prone to natural disaster may lose between 30% and 40% of its property value and are harder to sell or even lease out.
He said to safeguard homeowners, existing property development laws should be updated or amended to minimise the impact of natural disasters.
