Motorists slam insurance firms for refusing dealership repairs

Insurance companies refusing to pay for dealership repairs even for cars with comprehensive insurance coverage have dissatisfied clients complaining.

Despite charging hefty rates, these companies ask their clients to go to small garages even for minor repairs.

A senior official at the emirate's Traffic and Licencing Department said insurance companies have not kept up their word to reduce rates following the department's recent decision to stop the pardoning and the reducing of traffic fines.

When the companies were questioned, they said they do not allow vehicle dealers to repair cars regardless of the class of insurance.

He said clients with brand new cars consider this unfair.

A representative from an insurance company admitted they have been turning down all requests for dealership repairs.

When an accident takes place, the company calls for quotes from several mechanics and accepts the lowest offer. The car owner is given the choice of accepting the insurance company's recommendation or going to the authorised vehicle dealers and paying the difference.

The tough stand taken by the insurance companies is based on the high accident rate here, he said.

Companies incur significant losses insuring vehicles, although he said other types of insurance, such as that for goods, has helped compensate for these losses.

They have explained all these problems to the authorities and they were waiting for a proper response because traffic fines continue to be pardoned despite the department's recent ban, he said.