Francis Koh, vice-chairman of the Putra Harmoni Residents Association, said that although his claim was recently approved, it had been delayed by his insurers attaching conditions to the payout.
“The insurance company told me they would withhold 20% of the insurance payout pending submission of photographs and invoices to prove that all repairs have been carried out.
“They also insisted that the repairs must be completed within two months of receiving the initial 80% of the approved claim,” he told FMT.
Koh said such a stipulation contradicted PIAM’s position that insurers should pay out on claims swiftly without attaching unnecessary conditions.
Last Thursday, FMT contacted the insurer to ascertain the status of Koh’s claim.
The following day, the insurer responded to say that it was “under review”. In a subsequent text message later that day, the insurer confirmed that “the case has been resolved”.
Although relieved, Koh said he was speaking out to “create awareness” among other affected insured persons, who were facing challenges in securing their compensation.
“Many are still waiting to get their insurance money. In one case, an owner, who was insured for RM650,000, had his claim cut to RM20,450,” he said.
“Others received only part of their claims and had to pay the rest themselves,” he said.
Koh said insurers appeared to be delaying payments just because the government was helping to repair part of the damaged houses, calling their actions unfair.
“We just want what is ours. The insurers cannot delay payment just because the government is also involved. Almost seven months have passed. We still cannot go home. We need our homes to be ready as soon as possible,” he said.
On April 1, a gas pipeline exploded in Putra Heights, sending flames soaring over 30m high, with temperatures reaching 1,000°C. No deaths were reported, but about 150 people sought hospital treatment.
More than 400 families were displaced, with over 500 houses and hundreds of vehicles damaged, according to the Selangor government and federal agencies.