Court warns insurers against prolonging road accident claims

Insurance firms in Malaysia are cautioned against using court cases to delay road accident claims, a judge has cautioned. Sessions Court judge Saifullah Bhatti, acting in his capacity as a magistrate, emphasized the need to prevent the judicial system from being exploited, particularly when defendants lack a valid argument against accident claims.

He expressed concern that protracted litigation could financially deplete accident victims or render pursuing compensation unfeasible. This warning came during the judgment issued by Saifullah in a case involving 3S Teguh Transport Sdn Bhd and its driver, Daniel Savarimuthu, who were ordered to pay RM43,605.10 in damages to businessman Kathirrevan Suppiah.

The damages were awarded after the defendants, represented by lawyers appointed by their insurers, were found fully liable for an accident that occurred on July 31, 2024, on the North-South Expressway. The incident occurred when Kathirrevan's lorry, driven by his employee Muhammad Ilias Abu Hasan, collided with a detached tyre on the highway, causing the plaintiff's vehicle to overturn and incur damage.

The court determined that the defendants had no credible defense to the claim and ordered them to pay an additional RM11,000 in legal costs, significantly higher than the RM5,300 stipulated in the amended scale of costs. Saifullah expressed his dissatisfaction with the length of the trial, asserting that the defendants had only prolonged the proceedings to delay Kathirrevan's compensation or force him to abandon the claim.

He emphasized that this situation was exacerbated by the financial and legal advantages enjoyed by insurance companies, which often put ordinary claimants at a disadvantage. Saifullah stated that such practices would deter unnecessary litigation and protect weaker parties, advocating for prompt resolution of legitimate compensation claims without excessive legal expenses.