PIAM initiative good for consumers

REFERRING to the recent decision by the Malaysia Competition Commission (MyCC) to impose a penalty on local general insurers for alleged infringement of the Competition Act 2010, I feel this is wrongly conceived.

The infringement arose out of the agreement between General Insurance Association of Malaysia or PIAM (Persatuan Insurans Am Malaysia) and the Federation of Automobile Workshop Owners’ Association of Malaysia (FAWOAM) pertaining to trade discount rates for spare parts for certain makes of vehicles and labour hourly rates for workshops under the PIAM-approved repairers scheme.