Call for review of laws governing insurance companies

Chairman of the Government Housing Loans Board Felix Thomas. Photo: GIS

Chairman of the Government Housing Loans Board, Felix Thomas, has called for a review of the laws governing insurance companies in Dominica and the conditions for payment when claims are submitted.

Speaking on state-owned DBS Radio earlier this week, Thomas said there should be more transparency and the responsibility is on insurance companies to respectfully value buildings.

“For example, we look at cases when people would approach the insurance company and that is when they are being told that their house is undervalued,” Thomas explained.

He said the matter is different when it comes to insurance for motor vehicles.

“It is not so in the case when you insure a vehicle,” he stated. “You know whether you are full comprehensive or you are third party, so you know what deal you are entering into and I am saying that some mechanism or something in that manner should be done so that the people know in advance what is happening.”

Thomas said the Board is in most cases satisfied in its dealing with the insurance companies, although there are few matters that they will not relent on. He said the Board is seriously discussing these matters with its clients and it will not hesitate to take them before the courts.

“Because, actually that level of damage, that level of destruction suffered by the people, we believe they should get full compensation and to be able to enjoy that facility that they have been contributing and paying for,” he said.

Copyright 2012 Dominica News Online, DURAVISION INC. All Rights Reserved. This material may not be published, broadcast, rewritten or distributed.

Disclaimer: The comments posted do not necessarily reflect the views of DominicaNewsOnline.com and its parent company or any individual staff member. All comments are posted subject to approval by DominicaNewsOnline.com. We never censor based on political or ideological points of view, but we do try to maintain a sensible balance between free speech and responsible moderating.

We will delete comments that:

  • contain any material which violates or infringes the rights of any person, are defamatory or harassing or are purely ad hominem attacks
  • a reasonable person would consider abusive or profane
  • contain material which violates or encourages others to violate any applicable law
  • promote prejudice or prejudicial hatred of any kind
  • refer to people arrested or charged with a crime as though they had been found guilty
  • contain links to "chain letters", pornographic or obscene movies or graphic images
  • are off-topic and/or excessively long

See our full comment/user policy/agreement.

49 Comments

  1. Francisco Etienne-Dods Telemaque
    January 16, 2018

    To Joy, and every other Dominican sucked by that Insurance company: if you read my response to Joy regarding bad faith insurance here is the definition in legal terms in America.

    The same applies to Dominica. Somebody may want to consult Tony Astaphan, I believe he can deal with that , if he is not too busy defending Roosevelt!

    Hahahahahahahahahahahahahahaha! 

    Insurance bad faith is a legal term of art unique to the law of the United States that describes a tort claim that an insured person may have against an insurance company for its bad acts.

    Under United States law, insurance companies owe a duty of good faith and fair dealing to the persons they insure. This duty is often referred to as the “implied covenant of good faith and fair dealing” which automatically exists by operation of law.

    If one buys comprehensives insurance,  the motor vehicle  is covered even against an “act of God” in Dominica they uses this hogwash to not pay claims; let a judge decide that!

  2. Primrosette
    January 15, 2018

    This is laughable. First of all Mr Thomas we know that you are not even qualified to be on this board far less in insurance for you to even be making such statements. Secondly what you said and nothing is the same. I believe the reading public and homeowners deserve better by having someone with more credence address their insurance issues.

    To compare comprehensive or third party which is a type of coverage with the value of a house is like comparing a bunch of fig with a donkey. The problems our people have is that they when they insure they use the value of the loan and not the true value of the house. Another issue is they insure a single story house but years later when they have claim they appraiser brings a report of a two or three story house, or one which was altered. Should the value increase when the house has grew in size?

    Your article talks about review by government, what exactly do you want reviewed Mr Thomas? You have not said, and the public is waiting for your…

    • Primrosette
      January 15, 2018

      Insurance is highly regulated by both local and regional bodies, they are not doing as they please Mr Thomas, but if you have an idea of how to do things better its ok but please get advice from someone who knows what they are talking about. You are as lost as your photo depicts.

      Now our people who never read anything, please read your policy at least the first page. Is there anywhere that you policy was violated? In that same policy will tell you that you cannot sue the insurance unless they violate something in the policy. So unless you have lawyer money to waste which you could use to fix your house, read it first. People please take responsibility for your self and stop depending on people. You financial education depends on you and not on a bank or insurance company. Pay a counselor if you are lost and it will save you wasting money on lawyer fees later only to lose and still owe lawyers. check your assets to ensure they have the right value. Mind your own business for once.

    • Me
      January 15, 2018

      Primrose, in this case the word is “grown” (past perfect of “grow”). Back to school with you.

  3. Tony
    January 14, 2018

    Hello and good evening my people. First I must say thanks to Mr Thomas for looking to address this issue because my parents has been paying First Domestic for a full coverage replacement policy. Now since this hurricane after the roof of their home suffered major damage they only offering eight thousand dollars. Based on an estimate from three contractors which is in the range of forty thousand dollars to repair the roof they are still refusing to raise their quote . At this point my parents have no choice but to sue First Domestic so they can explain how they determine the replacement cost for damage.
    It seems to me that after something happen in Dominica that is when we find out that we don’t have Laws,Rules and Regulations to adequately address the issue at hand. Our people are being taken advantage of by private companies and our elected officials aren’t doing anything about it.

    • Weekenz
      January 15, 2018

      Tony I suspect you do not live in Dominica or you need to check your parents policy. Insurance in Dominica has full replacement policies? Since when? Check again, you can even go to Financial Services and ask the question they all have indemnity policies, check that out. You all come here with half a story not even knowing your own policies I can see how many lawyers going to eat your money, the same one you should use to buy galvanise. They will make you spend years in court paying them and at the end of the years nothing.

  4. Lol
    January 14, 2018

    Well every body just Insure with GK insurance because they are the only one that have their clients smiling to the bank.

  5. UDOHREADYET
    January 14, 2018

    Its the same in other countries, a person should always read their policy document, ALWAYS.. Ask informed questions instead of relying on Insurance agent to represent you when in fact you are paying for coverage on your property and its your duty to make sure your monthly payment is not too much or that you are covered to the fullest extent not just by words but on paper given to you by the company providing the coverage. My insurance did me dirty last year year but I caught them fast… they lowered my coverage but kept charing me the same monthly payment as if they were giving full coverage, when I reviewed my summary of coverage from the policy I realized I wasn’t fully covered, demanded an explanation and immediate full coverage be added t my policy as well as a full explanation in detail of the policy documents. You have rights.

  6. Lyn
    January 13, 2018

    Mr Thomas good point, but can you believe that after such a hurricane and going thru first Domestic I am still being charged vat by the government, in trying to repair my house

  7. U A
    January 13, 2018

    Views expressed, you have the right to express yourself so is the Dog! As a matter of fact I enjoy hearing his loud back. Please enlighten me on the status of the bankruptcy case or I will have the dog barking Louder!

  8. January 13, 2018

    We need more time from time from the Government regarding the duty free and the tax break on BUILDING materials six months is not enough!!!!! PLEASE

    • BMB
      January 13, 2018

      I TOTALLY agree with you JOHN. 6 months from the date announced puts an end to it in March, 2018. Some insurance companies have only just started to settle claims.

      • Ossie
        January 15, 2018

        Complete nonsense. Anytime government implement more regulations it ALWAYS result in higher premiums which leads to less people able to afford insurance. The insurance companies who treat their clients fairly will always get more clients which will make other insurance companies treat their clients better. That’s how the free market works, NOT government regulations.

      • January 15, 2018

        In that case, Ossie, shouldn’t you be agreeing with those who call for extension of duty free on construction supplies?

  9. Roger Burnett
    January 13, 2018

    Although self insurance is frowned upon (especially by insurance companies) apart from the legal requirement for third party vehicle cover, it is what I have practiced all my life. The money I save goes directly into improving and strengthening my property.

    • Weekenz
      January 15, 2018

      Roger Burnett you have a big saving papa, how many of us have that?

  10. Mirage
    January 13, 2018

    Everything in Dominica is a Mirage.
    The Government is a Mirage.
    The Health system is a Mirage.
    The Judicial system is a Mirage.
    The thought that Dominica is a Democratic state is a Mirage.
    The idea that Dominica is sweet is a Mirage.
    The idea that you are comprehensively covered by your insurance is a mirage.
    The idea that Dominica is a Caribbean paradise is a Mirage.

    We as Dominicans need to really wake up and stand our ground because the country is slipping into becoming a plantation once again. Actually, it has already become a plantation.

    • Anonymous
      January 15, 2018

      And a mirage is worse than a wet dream, trust me!

  11. Joy
    January 13, 2018

    Can someone tell me the meaning of full comprehensive. Because my car is fully insured and now am told I cannot get help from first domestic because i am not covered with act of God. Can some please explain that to me

    • UKDominican
      January 14, 2018

      Bet that when they were collecting your premiums they did not say they were acting on behalf of God.

    • Roger Burnett
      January 14, 2018

      Joy, you have made a valid point.

      As I recollect the same “Act of God” clause was used by BVI insurance companies years ago with respect to property in the wake of Hurricane Hugo.

      Incidentally, I am told that the land movement at Antrim (in the wake of the contractor dumping million’s of tons of spoil from Red Gully) is also an “Act of God”. But I’ve had a word with God on that one and he tells me…Rog, I’ve done some curious things in his time (plagues of locus, etc.) but I didn’t do Antrim. That, he tells me, is the “Folly of Man”!

    • Weekenz
      January 15, 2018

      If you do not have act of god you do not have full comprehensive. Go read your documents and see if it says full comprehensive or act of god. How many pages did you read from your documents anyway?

    • Man bite dogs
      January 15, 2018

      @ Joy ,I personally think you should take a look at the small print on your policy, if not asked your insurance company to prove to you it was the act of God, I will tell you no one on this blue planet can prove that crap. To be honest it’s a con from insurance companys.

    • Francisco Etienne-Dods Telemaque
      January 15, 2018

      Joy, that insurance company is a fraud, you have a civil law suit against that company. As long as you bought comprehensive insurance, you car is covered against any perils: Fire, Flood, vandalism, theft, uninsured driver running into you car and damaging it.

      It is anything which caused damage okay!

      you know it is only on Dominica people make a fool of people and get away with it! Take them to court, you have a case, you have a civil law suit against that company, and I will tell you what kind of law suite to file. They sold you insurance in “Bad Faith: hence you can file a BAD faith civil law suit against them, in America, a bad faith law suit against an insurance company could earn you hundreds of thousands of dollars

    • Francisco Etienne-Dods Telemaque
      January 15, 2018

      Joy, that insurance company is a fraud, you have a civil law suit against that company. As long as you bought comprehensive insurance, you car is covered against any perils: Fire, Flood, vandalism, theft, uninsured driver running into you car and damaging it.

      It is anything which caused damage okay!

      you know it is only on Dominica people make a fool of people and get away with it! Take them to court, you have a case, you have a civil law suit against that company, and I will tell you what kind of law suite to file. They sold you insurance in “Bad Faith: hence you can file a BAD faith civil law suit against them, in America, a bad faith law suit against an insurance company could earn you hundreds of thousands of dollars.

  12. Francisco Etienne-Dods Telemaque
    January 13, 2018

    “Thomas said there should be more transparency and the responsibility is on insurance companies to respectfully value buildings. ”

    You pay for what you get, If I over value my property, that is wasted money paid, because the bottom line is the insurance company will only  pay the actual value of the damage and no more!

    What transparency are you talking about; if there is no transparency in government affairs which should be public, why are you suggesting transparency in a private affair.

    If I buy an insurance policy, I read the declaration, and find something I do not understand regarding payment of all or certain Perils, as long as I get paid the value of my policy excluding the delectable, why should the nation know what transpired between me and the insurance company.

    Public information is transparency!

    All of you are the same, you zero in one a word, and use it to pipe hot air, nonsensical nothing, are you all not tired talking nonsense?

    • Man bite dogs
      January 15, 2018

      Joy ,the above information tells you all Mr Francisco is a very smooth cut diamond i am not the same but what i have read his advice is best take care all the best.

    • Francisco Etienne-Dods Telemaque
      January 15, 2018

      “delectable, ”

      The word should actually be deductible!

      Deductible in an insurance policy is a specified amount of money that the insured must pay in the cost of rebuilding, or repairs to the property, before an insurance company will pay a claim.

  13. no face
    January 12, 2018

    Soon after the hurricane the prime minister was with his Domestic friends boasting how they had already paid out most of the claims. The prime minister and the labour party has sided with the ripoff insurance companies against the people of Dominica. I challenge Robbie tongue or the prime minister to speak out against what the insurance companies are doing to Dominicans. We waiting for you in Roseau central.

  14. Progress
    January 12, 2018

    First domestic is the worst. So long I am waiting for my claim. They always on time when it comes to renewal. Will be taking my business elsewhere. Why bother when it is the minister company

  15. viewsexpressed
    January 12, 2018

    Felix thanks to you and your members for meeting and addressing this matter. Please do all that you al can to represent the crying and frustrated people in need of good coverage. Please talk to the Insurance companies that the people who invested their hard earned monies need help 100% now.
    Insurance companies , please be opened.

  16. anonymous2
    January 12, 2018

    It’s about time.

  17. Paul Rossnof
    January 12, 2018

    They really have their dirty hands in everything.

  18. Progress
    January 12, 2018

    Well said Mr. Thomas.

  19. zandoli
    January 12, 2018

    But the value of the building is only one aspect of the policy to the extent of replacing or repairing the structure or the contents. What the insurance companies should be most concerned about is what will it cost to repair said structure after it is damaged and then set the policy on that basis.

    Unless a home owner makes changes to the structure, the policy should automatically be updated by the insurance company to reflect the cost to repair or replace it. Just because the value of a house goes up does not mean the cost of repairing or replacing increases, unless the building has been altered.

    The insurance companies are using the value as a ruse to deny policy holders their fair compensation.

    Once the house is built, the value increases or decreases based on the laws of supply and demand – not necessarily on the replacement cost.

    The value of most houses are almost always worth more than the replacement cost.

    • winston warrington
      January 13, 2018

      You contradict yourself. Escalation of labor and material costs alone will increase replacement cost over present value. Are buildings insured merely to meet mortgage demands or for indemnity against future loss? one is expected to recover the percentage of the total value insured such that if the roof forms 10% of the total assessed value of the structure , the loss of the roof would be rewarded by a like sum. Total loss is never reconciled by future replacement unless initial insurance is procured for actual replacement costs at more than twice market value. But can you afford it?

      • Zandoli
        January 13, 2018

        Winston, the value of s house is the amount it will fetch on the market. The is s relationship between the replacement cost to the extent that a house that cost more to build will likely be more valuable than one that cost less. Beyond that the value of the property is at the whim of the market.
        My home is forty off years old, and the value is far in excess of the replacement cost. The increase in the replacement cost is far lower than the increase in the value. My point is the premium I pay has everything to do with replacing or repairing the building and not the value of my house. I know because the cost of my premium has not increased at the same rate as the value of my house.

      • Dominican
        January 15, 2018

        Winston, I suspect some people may confuse mortgage protection insurance with house/content insurance.If you have a mortgage the provider of that loan would insist on their borrowers taking out insuranceto safeguard the loan but little else.

    • Dominican
      January 14, 2018

      The reality is that under the present circumstances there is hardly a real estate market in Dominica while building materials to effect repairs are in short supply. Therefore we should not be surprised if replacement costs do exceed the market value of one’s property.

    • Mother
      January 15, 2018

      And what is the value of your house if there is no one to buy it? In truth, I have advised a lot of people not to throw good money after bad and walk away if they have the chance to leave Dominica. That is painful, I know but sometimes it is better to cut your losses and run, like now.

  20. Neutral
    January 12, 2018

    I support you 100%. I have been paying my insurance payment since 1976 with First Domestic Insurance Company and now that it is time to pay me back they are beating around the bush. I for sure will be taking them to court. The manager Mr. Bazil refuse to discuss my claim with me.. I believe the Prime Minister should intervene with what that is going on at First Domestic Insurance Company. SHAME SHAME SHAME on them. I could never and will never be going back with them in a lifetime. I call on all who have been treated like I have been to try and have a discussion with the PM so that something can be done to recitify the matter, he is a man for the people before we all start court proceedings .

    • Dominican
      January 14, 2018

      Are we sure that the insurance company has adequate financial resources to coverall claims. Have the premiums they have collected been invested in assets that are easily convertible, or perhaps cannot be turned into cash at all at present?

      • Me
        January 15, 2018

        Hmmm, have First Domestic been caught with their pants down?

  21. Shameless
    January 12, 2018

    Mr. Thomas thanks for speaking out.

    The most guilty Insurance company is the one in which a VERY HIGH LEVEL DLP administration person has interest. All they are doing is mah-mah-guying the poor man that was already royally day-car-layed by Mrs. Maria further compounding the stress and problems associated with recovery. You being in a position to effect SERIOUS change in the laws governing how these thieves posing as insurance companies operate should exert MAXIMUM pressure on the government who continue to speak on one side of their mouth while tacitly approving what the said insurance companies are doing in return for campaign funds. Yes I said it.. :twisted:

    While I do not condone violence of any kind, I foresee some people walking into insurance companies in the near future and taking the laws into their own hands. Let us hope this never happens but the ongoing level of madness may just trigger such acts.

    Assertive like hurricane Maria! :twisted: :twisted: :twisted:

    • January 12, 2018

      I fully concur with you on the insurance company you referenced. What you are not saying is that they are selective in their treatment of their customers. While I can say that I was ripped of by this company, I know of some who got handsome settlements even when they were under insured.

    • A Jervier
      January 12, 2018

      I am very upset to hear that the deductible is 2% of the house value. This was not highlighted to me at the time of sale. Since my house is a high value one the compensation was pitiful. Not knowingly I was living in fools paradise. From now on the insurance companies in Dominica will not get my hard earned money until this policy changes. Premiums were being paid for nothing. I use to a strong advocate for house insurance but not any more.

    • Man bite dogs
      January 12, 2018

      That crap could only have comes from a so-called workers idiot supporter …..!!!!!

      • viewsexpressed
        January 12, 2018

        Man biting Dogs……please stay away from embarrassing yourself in public. I know a dog that the more it is told mash, get lost it continues barking rubbish until we call the master to silence it. Stupid dog on the road disturbing people`s peace and tranquillity. Woof….woof….mash

      • viewsexpressed
        January 12, 2018

        That man bite dogs is a labour blind supporter, roaming the streets barking. Ignore him, please.

Post a Comment

Your email address will not be published. Required fields are marked *

:) :-D :wink: :( 8-O :lol: :-| :cry: 8) :-? :-P :-x :?: :oops: :twisted: :mrgreen: more »

 characters available