# Car Insurance



## magsasaja (Jan 31, 2014)

Have just read another thread and after looking at similar past threads, it seems many expats dont bother with proper car insurance. 

Like Hogrider said it is none of my business, however accidents do happen every day and you could be faced with a bill that goes into the millions. A Filipino friend of ours was involved in a accident that wasn't her fault and the hospital bill came to 3.2 million pesos. Without proper insurance the other driver would have had to pay from their own pocket or probably would have spent a considerable amount of time in jail. 

We own and run several small businesses here in the Philippines and all of our vehicles are comprehensively insured. I can do anywhere between 50 and 100k per year and although the roads are crazy at times, i am glad that am fully covered. Sure i could save over 100k a year, but in my opinion it just wouldn't be worth the risk, as even good drivers do make mistakes.

Touch wood, we have only ever had to make one claim and the vehicle was unattended at the time. The whole process was surprisingly simple and the car was fixed within 2 weeks. 

None of us can predict the future, but taking a gamble and losing in the Philippines could be life changing and i recommend you look into getting proper insurance.


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## Zep (Jun 8, 2017)

I would be interested in the "Liability" or "3rd Party Liability" limits on some of the members insurance policies. I can't find anything by googling other than it seems like 200k pesos was a standard policy amount.

In my mind having only a 200K (plus 100K required insurance) limit would not be enough and I might as well self insure at that limit.


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## JRB__NW (Apr 8, 2015)

I went through this when I bought my car. The compulsory liabiity is only 100,000, or $2000. That's a joke, and not going to do much if someone is hurt. I managed to get extra coverage as follows:
1 million excess bodily injury
1 million 3rd party property damage
250K for Personal Accident coverage (medical probably)
And of course Collision and Theft for car value.

This coverage is still not enough, in my opinion, being a fraction of what I carry in the US, and considering the risks here, but it's the most coverage I could get from my agent. She said higher coverage was not available. I pay just under14K a year for that policy.


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## magsasaja (Jan 31, 2014)

Extra coverage is the way to go and even though companies dont do a no claims bonus, you can still negotiate a deal.
Own damage, collision, theft and acts of god (!) car value.
Excess Bodily injury 1.5 million
3rd party property damage 1.5
Auto passenger 1 million
Also unnamed passengers 250,000 each for 4 passengers.

If i was ever in accident that caused actual bodily harm, i at least know the insure company will have to deal with the claim. Dealing with it personally is likely to cost a whole lot more if they think you have money.


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## Zep (Jun 8, 2017)

So I can probably afford 14k to 20k per year for the car insurance but what happens if I am not the driver which might be 50% of the time. 

I am pretty sure it will not be valid if my nephew or brother in-law uses it. If the car is in my wife's name can the injured go after her(owner of vehicle) in court even though she was not the driver?


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## Gary D (Oct 28, 2013)

A lot of 3rd party claims are down to what the 3rd party can afford to pursue. Coach drivers are told that if they run someone down run over them twice as a funeral is cheaper than a hospital.


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## Hey_Joe (Sep 13, 2016)

Gary D said:


> A lot of 3rd party claims are down to what the 3rd party can afford to pursue. Coach drivers are told that if they run someone down run over them twice as a funeral is cheaper than a hospital.


True. Happens all the time.

Two years ago my wife was in Manila shopping with some friends. They witnessed a large truck accidently strike a beautiful looking office worker. When others were screaming at the driver about her laying, injured in the street, he repeatedly backed over her until she was no longer responsive (dead) because the cost of her funeral was cheaper than life long medical care.


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## Missouri Bob (Feb 12, 2018)

Hey_Joe said:


> True. Happens all the time.
> 
> Two years ago my wife was in Manila shopping with some friends. They witnessed a large truck accidently strike a beautiful looking office worker. When others were screaming at the driver about her laying, injured in the street, he repeatedly backed over her until she was no longer responsive (dead) because the cost of her funeral was cheaper than life long medical care.


It seems like with the prevalence of cell phones someone would be recording this. I would think the driver would be charged with something like first degree murder.


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## Gary D (Oct 28, 2013)

Missouri Bob said:


> It seems like with the prevalence of cell phones someone would be recording this. I would think the driver would be charged with something like first degree murder.


Only if the family can afford it, there's no state verses in the Philippines.


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## JRB__NW (Apr 8, 2015)

Hey_Joe said:


> True. Happens all the time.
> 
> Two years ago my wife was in Manila shopping with some friends. They witnessed a large truck accidently strike a beautiful looking office worker. When others were screaming at the driver about her laying, injured in the street, he repeatedly backed over her until she was no longer responsive (dead) because the cost of her funeral was cheaper than life long medical care.


I find that hard to believe. Not questioning you personally, but how would they know he did it on purpose? Perhaps he was unaware that he hit her. It sounds more like Filipino drama and exaggeration to me. I'm not saying it didn't happen, I just find it hard to believe anyone could or would murder an injured person like that and not face consequences. Something doesn't make sense in that story. And no, I don't think it happens "all the time", even in the Philippines, with the callous disregard for life.


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## JRB__NW (Apr 8, 2015)

Gary D said:


> Only if the family can afford it, there's no state verses in the Philippines.


 Are you serious? Charges couldn't be brought against the driver?


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## Zep (Jun 8, 2017)

Zep said:


> If the car is in my wife's name can the injured go after her(owner of vehicle) in court even though she was not the driver?


Does anyone know the answer to this question? I may need to reevaluate the entire use of this vehicle. I might even need to sell it to get rid of the liability.

We loan/rent the car to relatives occasionally but I was guessing that if they were in a accident that the victims would go after the driver. Now I am concerned they could go after me/wife as the owner of vehicle. Even if I have insurance I am not sure that would cover say my brother in law driving it.

If I put the vehicle in a relatives name then I wonder if I can insure it for me when I drive.

If I could just count on someone to be available and reliable to drive I would give up driving all together but I can't even find anyone to clean my house reliably.


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## Gary D (Oct 28, 2013)

Zep said:


> Does anyone know the answer to this question? I may need to reevaluate the entire use of this vehicle. I might even need to sell it to get rid of the liability.
> 
> We loan/rent the car to relatives occasionally but I was guessing that if they were in a accident that the victims would go after the driver. Now I am concerned they could go after me/wife as the owner of vehicle. Even if I have insurance I am not sure that would cover say my brother in law driving it.
> 
> ...


This happened a few years ago. A relative owned a hauler, badly maintained, poor or no brakes. It was in a accident and ran down a your woman who was badly injured. The owner was pursued, not the driver who was another relative.


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## Gary D (Oct 28, 2013)

JRB__NW said:


> Are you serious? Charges couldn't be brought against the driver?


Very serious. If the family can not afford to bring a case nothing will happen. This happens with all disputes in the Philippines. Murder being a prime example, the one with money wins. The poor can not afford justice and the rich know it.


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## Gary D (Oct 28, 2013)

Another example. In my wife's village up the mountain near Amlan, ****** Oriental there is a badly damaged hauler in the front of a house, again no brakes. The front of the house is destroyed with the hauler parked there with the front destroyed. The owner of the truck unloaded the sugarcane and abandoned it. Offered the house owner 10,000 peso and let them keep the truck.


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## Zep (Jun 8, 2017)

I came to the Philippines to have a simple life and get away from the taxes and insurance fraud in the US. Looks like I have not escaped it after all.

Now I find out I need insurance on all my vehicles - to prevent being sued for anything related to my ownership or use of said vehicles.

I need health care insurance - to prevent being left for dead in the hallway of the hospital because I don't have cash on me to cover the life saving treatment.

I need homeowners insurance - to prevent being sued form a person on my property getting electrocuted or falling off the roof.

I guess I could roll the dice and not have any of the above (like currently) and just leave the country if anything happens (unless I am in jail).


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## fmartin_gila (May 15, 2011)

Zep said:


> I guess I could roll the dice and not have any of the above (like currently) and just leave the country if anything happens (unless I am in jail).


Thats about how I look at it.

Fred


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## Gary D (Oct 28, 2013)

Zep said:


> I came to the Philippines to have a simple life and get away from the taxes and insurance fraud in the US. Looks like I have not escaped it after all.
> .


The judiciary, schools, healthcare etc were all set up by the US on the US model so why did you expect any difference.


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## Zep (Jun 8, 2017)

Gary D said:


> The judiciary, schools, healthcare etc were all set up by the US on the US model so why did you expect any difference.


The difference is I should be able to live like the 400 million Filipinos and not have insurance. If they are at fault they would pay nothing or let the 100k liability handle it. But looks like they will see a big payday because I am an American and take me for everything I have.

The value of life here is not vary high as I give money to people to take their kids to the hospital but they spend it on other things and in one case their kid died from simple pneumonia. They would rather buy cigarettes than high blood pressure meds. 

If they are in a hospital bed it seems like they pull the plug if the bill is going to be more than 100k pesos so why should I have to pay millions of pesos to save a life.

Oh well, I have decisions to make. In the meantime no one drives the cars or is allowed on the property.


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## fmartin_gila (May 15, 2011)

Zep said:


> They would rather buy cigarettes than high blood pressure meds. .


Thats how it seems to work here. Had a neighbor down the street who died about a year ago who could always find enough money to get drunk each day but could not afford to see a doctor.

Fred


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## mogo51 (Jun 11, 2011)

Zep said:


> So I can probably afford 14k to 20k per year for the car insurance but what happens if I am not the driver which might be 50% of the time.
> 
> I am pretty sure it will not be valid if my nephew or brother in-law uses it. If the car is in my wife's name can the injured go after her(owner of vehicle) in court even though she was not the driver?


My policy covers any licensed driver. Same sort of premium 15k pesos p.a.


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## Zep (Jun 8, 2017)

So far I am striking out on finding insurance.

I tried PNB bank which I have accounts at and BDO bank via online.

They say you have to be a Filipino citizen, I am not.

They will only cover cars 10 years old and newer, I have a 2006 and a 2009.

The max third party liability they will cover is P200k. This is not even worth having at such a low limit.

I did not even get to ask whether they would cover other drivers other than the one on the policy, but my guess is they will not. 

If anyone has a name of a company that will cover an American driver with a 10+ year old car and P500k minimum liability I would like to hear about them. I don't even want comprehensive and the other junk they sell unless it is required.


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