The General Insurance Association of Malaysia (PIAM) has clarified insurance coverage for electric vehicle (EV) owners and property owners following a recent fire in Cheras involving an EV home charger that reportedly caused extensive property damage.
PIAM chief executive officer Chua Kim Soon said standard Malaysian motor and property insurance policies generally provide coverage for fire-related damage, subject to the terms, conditions and exclusions of individual policies.
He said standard Houseowner and Fire insurance policies cover specified perils, including fire damage, regardless of the source of ignition, provided there is no fraud, deliberate act or other breach of policy conditions.
PIAM said permanently installed or hard-wired EV chargers may be categorised under the buildings section of a home insurance policy as fixtures and fittings.
However, unattached or portable charging cables would typically fall under specialised EV motor insurance policies or add-on packages offered by insurers.
PIAM stressed that homeowners must take reasonable precautions and maintain appropriate electrical safety standards when installing EV chargers.
When assessing a claim, insurers may review official investigation reports, including those issued by the Jabatan Bomba dan Penyelamat Malaysia, to establish the cause of a fire and determine whether there were deliberate acts such as arson, fraud or breaches of statutory requirements.
This includes cases involving illegal or uncertified electrical modifications and installations.
PIAM also advised homeowners to inform their insurers after installing a permanent EV charger.
“Declaring electrical upgrades ensures the property’s Sum Insured reflects current rebuilding costs and helps provide clarity on the policy’s coverage during the claims process,” it said.
PIAM recommended that property owners ensure their insurance Sum Insured reflects current rebuilding costs, including any home modifications and modern fixtures.
Homeowners can use PIAM’s complimentary Building Cost Calculator for guidance. PIAM Building Cost Calculator
The association also urged EV owners to assess their third-party liability coverage, particularly given the possibility of fire or electrical incidents spreading to neighbouring properties.
This is particularly relevant for terrace houses and high-rise residences where a fire could affect adjacent units.
PIAM said standard Houseowner policies generally provide a public liability limit of RM50,000, although policyholders can purchase optional extensions to increase the coverage.
EV owners should also review both their motor and home insurance policies to identify potential gaps and ensure appropriate protection for the vehicle, charging equipment and residential property.
PIAM advised homeowners and EV owners seeking clarification on policy terms or available add-ons to contact any of its 19 member general insurance companies.
