By Roshinee. S
KAMPAR, March 13 – UTAR students gained significant insights during the ‘Protecting Your Insurance and Deposits in Malaysia (PIDM) Awareness Talks. This talk organised by UTAR Faculty of Business and Finance Department of Banking and Finance students. This talk held at, H220 UTAR Perak Campus on 13 March 2017 from 10 a.m. to 12 p.m. Around 100 students participated in this talk.
At the 9.45a.m arrival of a speaker which are from PIDM Mr Chin Sze Yuen at the same time students registered their names at the register counter. At 10.00 a.m MC of this talk, Mr Siao Lexuan welcome the students and speaker. He told that this talk aims to provide an opportunity for students to raise awareness for the student as a financial consumer, to acknowledge participant to be a smart financial consumer and also to raise awareness for student regarding the government-backed bank insurance.
At 10.15 am the speaker from PIDM Mr Chin Sze Yuen start to brief about their organisation. He said that PIDM is the government authority established in 2005 under Akta Perbadanan Insurans Deposit Malaysia (Akta PIDM). PIDM provides two systems to protect you as a depositor under the Deposit Insurance System (DIS) and Takaful and insurance policy owner under the Takaful and Insurance Benefits Protection System (TIPS). He also stated their vision to be a best practice financial consumer protection and resolution authority and their mission to strive to promote and contribute to public confidence in the stability of the nation’s financial system.
Nextly, he starts to explain on The Deposit Insurance System (DIS) is a system established by the Government to protect depositors against the loss of their insured deposits placed with member institutions in the event of a member institution failure. Commercial and Islamic banks that are member institutions of PIDM are also referred to as ‘member banks’. He mentions that PIDM protects our eligible bank deposits up to RM250, 000 in the event a member bank become bankrupt. A deposit insurance system enhances consumer protection by providing explicit protection to depositors. For example, Mr Chin said that in the event that a member bank becomes bankrupt, do not need to make a claim PIDM will refund protected deposits based on the records of our bank and also PIDM will announce how, where and when the payment will be made. He added that as a responsible financial consumer need to check whether your account is protected by PIDM or not or we can check the list available on PIDM’s website.
Moreover, The Takaful and Insurance Benefits Protection System (TIPS) is a system established by the Government to protect owners of takaful certificates and insurance policies from the loss of their eligible takaful or insurance benefits. PIDM protects our eligible takaful or insurance benefits up to RM500, 000 or more, He stated an example, in the event an insurer member or takaful operator or insurance company becomes bankrupt PIDM will honour our eligible claims.
As an end of the talk, he added that PIDM promotes public confidence in Malaysia’s financial system by protecting takaful certificate and insurance policy owners against the loss of their benefits and by protecting depositors against the loss of their deposit.
The talk ended with the photographic session and giving goodies bag. If you want to be a smart financial consumer click here for further, www.pidm.gov.my or email to Slx10_14@hotmail.com