City plans to insure parked cars on streets<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
The city administration plans to insure all vehicles parked on
\nstreet shoulders with the potential compensation reaching up to
\nRp 200 million (US$22,222), an official says.<\/p>\n
The deputy chief of city parking operator BP Parkir, Bambang
\nRahmanto, said on Wednesday that many insurance companies had
\nexpressed a readiness to become partners of the administration.<\/p>\n
\"There are many companies that have made good offers, but we
\nhave not made a decision on which will become our partner,\" said
\nBambang, adding that the insurance scheme was part of the effort
\nto improve services.<\/p>\n
He refused, however, to name any of the firms involved.<\/p>\n
Bambang's statement comes after the administration proposed a
\n200 percent increase in the on-street parking charge from Rp
\n1,000 per hour to Rp 3,000 for the first hour and Rp 2,000 for
\neach subsequent hour.<\/p>\n
Many city councillors, however, have objected to the tariff
\nhike plan because, they say, the on-street parking regime in the
\ncity is fraught with corruption. Last year, BP Parkir could only
\ncontribute Rp 14 billion to the city coffers, far bellow its
\npotential.<\/p>\n
Bambang said that the on-street parking insurance would cover
\n75 percent of the vehicle's replacement value up to a maximum of
\nRp 200 billion for vehicles lost or damaged while parked on
\nstreet shoulders.<\/p>\n
According to the official, parking tickets would thus become
\nvery important for car owners as they would be necessary for
\nmaking any insurance claims.<\/p>\n
Meanwhile, a number of insurance company executives expressed
\nskepticism that there were actually insurance companies
\ninterested in providing on-street parking insurance.<\/p>\n
According to the senior relationship manager of a vehicle
\ninsurance company identifying himself only as Ade, insurance
\ncompanies usually only collected premiums from individuals or
\norganizations.<\/p>\n
Ade said the number of vehicles to be insured needed to be
\ncertain as this was related to the level of premiums that would
\nbe charged.<\/p>\n
\"The number of cars parked on street shoulders is not certain.
\nOn what basis will BP Parkir calculate the size of the premiums?.
\nThe level of the premiums must be in line with the number of
\ncars,\" he added.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/city-plans-to-insure-parked-cars-on-streets-1447893297",
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"sponsor": "Okusi Associates",
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