Lower premium for female motorists

From 1 July 2005, female motorists insured with NTUC Income will enjoy a 6% reduction in premium rates.

Based on our past year's claim experience, female drivers have lower average claim cost.

The lower claim cost reflect that females are involved in less serious accidents and have lower repair cost. Perhaps they also use their cars less often, due to their indoor occupation.

NTUC Income has the largest market share of motor insurance, representing about 43% of all vehicles in Singapore. Our dominant share is attributed to our competitive premium rates and satisfactory quality of service.

Cash settlement for minor accidents

NTUC Income is implementing cash settlement for minor accidents from 16 May 2005:

- On-the-Spot Cash Settlement.
- Get the repair done at your workshop and keep the difference
- Within 7 days, you can return the cheque and ask us to repair the vehicle.

Our cash settlement centres are open Monday to Friday, 9am to 6pm at:

- STAC Sin Ming Road, 302 Sin Ming Rd, S'pore 575627
- STAC Portsdown, 5 Portsdown Rd, S'pore 139296
- NACS Paya Ubi, 51 Ubi Ave 1 #01-25, Paya Ubi Industrial Park

Hotline: 6788 6616.

Get your daily news about your neighbourhood

NTUC Income is launching eNN, an electronic newsletter for each constituency in Singapore, from 1 May 2005.

The aim of producing eNN is:

- to promote an awareness and interest of happenings in the neighbourhood
- to promote social cohesion
- to create a target of 500 new jobs when all the constituences are operational

The newsletter will be sent to residents who registerd at the website:
www.enn.com.sg.

This is intended for local news. It covers local events that happened in the constituency, such as the events organised by the community center, school, town center, library and others. These news are usually not covered in the national newspapers due to lack of space.

It will also carry advertisements from the local shops and service providers. The shops can advertise their special offers and interesting products. Service providers can advertise their services, such as tuition, child care, baby sitting, elderly care, car wash, home repair, computer repair, etc.

To register: www.enn.com.sg

Tan Kin Lian
CEO, NTUC Income

Coping with a business downturn

Someone ask me, "how is business"? I replied, "Business is down. But it is good".

Why?

When business is down, everyone should work less, earn less and spend more time with the family or pursue a hobby.

We should not expect business to be always good, and to work hard all the time. We need to take a break.

I want to encourage people to be on a "holiday resort" mentality.

During peak season, they work very hard. During the off-peak season, only a few shops are open for business. The other people take the time off to do something else.

They manage their earnings to survive on their earnings during the peak season.

Similarly, people who work in other industries should have a lifestyle based on 70% of their regular earnings. They should set aside the 30% as savings for the rainy day.

If they wish to change or lose their job, they can draw on their savings. They will not face any financial hardship.

I also encourage employers to adopt a more humane approach. When business is down, reduce the salary of all workers proportionately, with proportionate time off. Do not retrech the workers, unless they are able to find alterantive jobs elsewhere. Let the sacrifice be shared equally.

Survey: Integrated Resorts

The Singapore government recently announced the development of two integrated resorts with casinos at Marina Bay and Sentosa. We carried out a survey with 100 people representing a cross section of Singapore.

1. The two resorts will attract more tourists to Singapore and boost our tourism industry. Agree: 92%

2. The two resorts will turn Singapore into a vibrant hub in Asia, ahead of its regional competitors. Agree: 79%

3. I support the development of two resorts, as they serve different needs and will complement each other. Agree: 70%

4. I have confidence in the government to minimise potential social harms brought about by the casinos. Agree: 68%

5. The economic advantages brought by the casino resorts will outweigh the social harms. Agree: 68%

6. Social harms brought by the casinos will be minimal, as they constitute only a minor part of the resorts. Agree: 49%

7. The high entrance fee and ban on credit will protect Singaporeans against the ills of casino gambling. Agree: 39%

8. Are you in favour for casino development in Singapore? Yes: 71%

Period of Survey: 21 - 27 Apr 2005

How to join NTUC Income

NTUC Income has an innovative way to recruit people.

We ask them to register in our recruitment portal, www.income.coop/careers/ and tell us the jobs that they are interested in.

When we have a vacancy, we will contact them to submit an application. This will reduce the time taken to recruit a person, and also ensure that our advertisement is not overlooked by those who are really keen to join us.

We now have 2,000 people who have registered and told us about the jobs that they like. We carry out preliminary screening of these candidates, and will be able to offer them a suitable job as soon as it becomes available.

www.income.coop/careers/

Reduce tax on "green cars"

A friend told me that environmentally friendly "green cars" are more fuel efficient. There is a potential saving of 25% on fuel.

With high prices, we should encourage "green cars" on our roads.

However, there is an obstacle. Due to our tax system, "green cars" cost about $20,000 more than the conventional cars.

With an average monthly consumption of $200 in petrol, the monthly saving is only $50. It will take 30 years to recover the additional cost of the green car.

In the USA, green cars cost about S$5000 more than conventional cars. It will take less than 10 years to recover the investment.

I suggest that our tax system in Sigapore should be reviewed and a lower tax burden be placed on "green cars". This will encourage more people to use "green cars" and save on petrol.

Silence not golden for shareholders

Today (18 April) has this headline: "Silence not golden for shareholders".

It says, "As the Commercial Affairs Department investigates corporate wrongdoing, silence prevails, leaving investors in the cold".

The CAD is investing Accord Customer Care Service and Citiraya. In both cases, shareholders have not been informed about the nature of the investigations. The uncertainty has dragged on for several weeks. It is not clear whether the company or CAD should be releasing updates.

My friend told me that, in the USA, they have a faster way to resolve these issues. Action is taken quickly, and the issue is settled within a short time. In some cases, the CEO gets replaced quite quickly. In other cases, the matter is settled.

I hope that the authority in Singapore can find a way to resolve these issues more promptly.

Vehicle Navigation System

I installed a Vehicle Navigation system in my car. It cost about S$1,500.

It works well. The system allows me to set the destination. It guides me along the way. It shows the roads to take and when to turn. It is easy to use and quite reliable.

I will look for a way to help to introduce this system more widely in Singapore. I may buy a few units and offer it as a lucky draw prize for owners who insure their vehicle with us. I may offer a discounted price for our motorists.

Abusive customers

In recent years, an increasing proportion of customers are getting to be impatient, rude, abusive, demanding and unreasonable. Some employees do not want to work in the frontline to face customers.

This situation appears to happen in other countries as well. Recently, I was in Healthrow Airport. I saw a sign at the Information Desk. It goes along this line:

"Our customer service officers will do their best to serve you. Please do not abuse them. It is our duty to protect our employees. We will take legal action against any customer who harrass our employees".

Financial Planning for All

Many people need financial planning.

They have to make supplementary savings for their retirement. In many countries, the savings in national and company schemes are inadequate. As jobs become less stable, many people need to change their jobs several times during the working life. This makes personal savings more important.

I have recorded an interview to give educational advice on financial planning. This can be found in www.income.coop. Click on "Ask Mr Tan".

Bus from Heathrow to Oxford

I took a bus from Heathrow to Oxford. The cost was Pds 15 for a single trip. When I returned, I paid another Pds 15.

I asked the driver what was the return fare. It was Pds 18. So, I paid Pds 12 extra by buying two single tickets.

Lesson: ask about the return price, before you start the firt leg of the journey. If there is great value, it is better to buy a return ticket. Even if you do not use it, you can sell it to another person!

Visit to Dubai

I visited Dubai. It was my first visit.

I was amazed at the development of Dubai. It is like Singapore, but using 21st century technology.

They are building many new cities, such as media city, internet city, knowledge village, etc. They get the international companies to be based there. The Dubai Marina is a grand residential city, and is nearly completed.

They are also building several large residential projects, such as Palm Jumeria, The World. These are built on reclaimed land in the Gulf. The scale of these projects is tremendous. Each has over 5,000 new residential houses and apartments.

My friend who live in Dubai said that the transport system is not adequately planned. I think that the Dubai planners will also find a 21st century solution to this issue. They have the vision and will to do it.

It is an exciting international city.