Insurance, auto loans and then some

MANILA, Philippines - Leave it to Mother Nature to remind us of the things that are truly essential. The unprecedented havoc caused by typhoons Ondoy and Pepeng, for example, have forced car owners to sit up and really take note of what their insurance policies can do for them and their treasured four-wheeled possessions. Many car owners now closely scrutinize their insurance policies, taking time to understand them to the letter.

The standard insurance policy, we now know, does not necessarily include Acts of God (AOG) coverage. AOG covers natural disasters like floods, typhoons, hurricanes, volcanic eruptions and earthquakes. AOG coverages, we also realize now, don’t necessarily cost that much. An additional average of 0.7 percent on one’s policy cost is enough to keep us all feeling just a wee bit more protected. Surely, however, insurance companies can offer much more than standard coverage and Acts of God coverage. We did a bit of research and found out – much to our pleasant surprise – that insurance companies actually do offer so much more, in varying degrees.

A new insurance company called Pink Wheels, for example, caters specifically to the feminine market. A subsidiary of UCPB, Pink Wheels aims to offer convenience, reliability and affordability on a whole new level. Along with standard insurance coverage (and AOG, if a policy-holder decides to go for it), a slew of other services come with the policies from Pink Wheels. These are: a courtesy car when your own car is under repair; assistance with LTO registration; 24/7 roadside assistance; and emergency towing assistance. Still, the company encourages would be policyholders to go the extra mile.

“More than anyone else, lady drivers should get AOG coverages. It will save them from the physical and emotional trouble. Read your policies very well and don’t be shy to ask questions. We would advise them to keep their rescue contact numbers with them as well. In the case of Pink Wheels it’s 751-PINK,” advises Mia Yabut, officer-in-charge of Pink Wheels.

Auto loans, plus-plus

One of the country’s most active banks (in terms of pursuing automotive clients), on the other hand, is offering something completely different – yet just as appealing. PSBank announced recently that its auto loans now come with an automatic rebate program. What it is, really, is a program meant to encourage early or on-time payments.

Here’s how it works: When a PSBank Auto Loan client pays on time, in advance or in excess of the monthly amount due, he or she is entitled to a rebate and a discount. “The rebates can shorten a loan term, reduce a loan’s total amount, or both. Our customers can have the flexibility and ease of paying off their loans in a shorter period of time or at a discounted rate over time,” explains PSBank president Pascual Garcia III. Essentially, the program makes it easier (or faster) for people to drive home their dream cars.

Apart from the rebates, PSBank Auto Loan also provides simple application process, flexible financing terms, affordable monthly amortizations, competitive interest rates (5.99% for a period of 12 months) and credit decision via SMS in as fast as 24 hours. You could say it’s a package made so appealing it would be difficult to resist.

Another big bank, meanwhile, is also “bending backwards” in its own unique way. Ongoing until the end of this month is BPI Family Savings Bank’s “Ride Your Dream Motorcycle” program. Apart from offering customers the chance to take home a brand new motorcycle for as low as P1,326 a month for a P30,000 loan with a three-year term, there’s a big and pretty important bonus that they’ll throw in. In partnership with the Honda Safety Driving Center, BPI Family Savings Bank is offering free safety riding lessons. This is in reaction to the clamor for better education amongst motorcycle riders.

“As the industry grows and motorcycle purchases become easier and hassle-free, BPI Family Savings Bank also understands the growing need for safety lessons that will equip motorists with proper safety and training guidelines for responsible ownership and usage of their new motorcycle units,” says Dave Sarmiento, BPI Family Savings Bank’s SVP and Head of Auto and Motorcycle Loans. Talk about responsible selling!

The bottom line here – and our point in writing this story for that matter – is that now more than ever financial institutions are going out of their way to make vehicle ownership a reality. Here’s another fact. It’s December. Traditionally, vehicle dealerships use this period to catch up on sales projections. It’s likely that there are discounts and promotions galore. There’s bound to be more than one good deal out there – certainly one for you if you are in the market for a vehicle these holidays. What are you waiting for, then? Go on! Indulge!