KUALA LUMPUR, July 7 (Bernama) -- The government is expected to implement the Third Party Bodily Injury and Death (TPBID) insurancer scheme next year after the details are finalised at the latest by year-end, the Dewan Rakyat was told.

Deputy Finance Minister Datuk Dr Awang Adek Hussin said the government was currently discussing with relevant parties to reach a unanimous decision before the scheme is implemented.

"Initially we thought we could finalise things in a short period of time. However, the government still proposed for a scheme to be worked out by year-end which may be implemented next year," he said in reply to a supplementary question from Loke Siew Fook (DAP-Rasah) here.

In his question, Loke had asked about the status of the new TPBID scheme, when it would be implemented and whether the government would ensure the interests of all parties were taken into consideration.

Awang Adek said the current third party insurance was problematic.

"I cannot deny the problems that exist, because as everybody knows the scheme doesn't allow opportunities for returns and actually incurs losses to insurance companies. Losses in the third party insurance sector nationwide totals to RM900 million annually.

"Because we have received feedback from important parties, we had to carry out detailed negotiations with various quarters in regards to an array of issues," he said.

He said among the issues that have arisen involved government subsidies, court processes and the efficiency of the claims payment process.

In reply to the original question from Loke and Salahuddin Ayub (PAS-Kubang Kerian), Awang Adek said Bank Negara Malaysia (BNM) had received various feedback on the new scheme which will be given attention to.

"BNM will also cooperate with government agencies and relevant parties to improve the insurance claim process so that it is fast and efficient. The scheme's new mechanism will be presented to the government after efforts are completed," he said.

Salahuddin had wanted to know if the government planned to suggest and introduce a third party bodily injury and death scheme, as well as the steps which have been taken by the government.