SEPANG: Starting next year, the government will reward prudent road users with handsome discounts on their annual vehicle insurance premium renewals.
Transport Minister Anthony Loke said the ministry was in the final stages of completing the mechanism.
“For this effort, we need to integrate information and data by the police and Road Transport Department (RTD) on people with clean records on roads and vice versa.
“We would also need support from insurance companies to create integrated data involving the RTD and police, and reward deserving people.
“Once everything is ready, we hope to start early next year,” he said after attending the 60th National Road Safety Council of Malaysia (MKJR) annual general meeting here.
Loke said it would not only serve as a motivation for road users to adhere to traffic laws and regulations, but also help reduce the high cost of living.
“It is a win-win situation for the insurance companies too.
“If we are able to reduce road accidents, insurance claims could also be reduced.
“With this new system, instead of paying out claims, they could offer more rebates on driver’s no-claim bonuses (NCB), on top of the 50 per cent discount if their vehicle is accident free,” he added.
Loke said the ministry wanted to use a carrot and stick approach to reduce road accidents.
“We want to penalise those who don’t abide by the law.
“Meanwhile, those who follow the law will be rewarded,” he added.