AIG has declared that it will stop providing insurance for McLaren sports cars when they are driven to Malaysia.
This change, reported by The Straits Times, was prompted by an accident on Oct. 29, 2023, in Johor, involving three McLarens.
From April 1, AIG will not accept liability for any damages or losses incurred from accidents involving McLarens outside of Singapore. This policy revision reflects AIG's response to the heightened risk associated with covering McLaren vehicles in Malaysia, according to The Straits Times.
The announcement has taken many in the McLaren ownership community by surprise, leading them to look for alternative insurance arrangements. One affected individual, Marcus Luah, a participant in the Johor accident, expressed his bemusement over AIG's specific targeting of McLaren cars, noting the frequency of accidents involving other brands in Malaysia.
“Obviously, I am not going to go back to them,” he told The Straits Times. “I can understand if it is two times, but five times!”
Insurance professionals specialising in high-value vehicles have observed that AIG's stance is unusual but not without precedent.
Douglas Chia, CEO of insurance brokerage firm Eazy, commented on the rarity of such decisions for cars priced below $3 million.
“It's not uncommon for cars which cost more than $3 million,” he told The Straits Times. “But it's less common for cars below that price range.”
In response to AIG's decision, Eurokars, the multi-brand dealership responsible for McLaren, is seeking partnerships with other insurers to ensure McLaren owners have access to necessary insurance coverage.
“This is a hard call by AIG. They are doing this for their own interest. But we have other insurance partners like Liberty,” said Chong Kah Wei, managing director of Eurokars.
