Malaysia: Decision Issued Against General Insurance Association of Malaysia and Its Members

Last month the Malaysia Competition Commission ("MyCC") issued a final decision against the General Insurance Association of Malaysia ("PIAM") and its 22 members for infringement of Section 4 of the Competition Act 2010 which prohibits agreement that has its object or effect of restricting, distorting or preventing competition. The impugned conduct is the alleged fixing of trade discounts on parts prices and hourly labour rates for motor vehicle repairs by workshops under the PIAM Approved Repairers Scheme (PARS). A cease and desist order was issued against the parties to cease implementing the impugned conduct. Financial penalties were also imposed on the entities. The matter is pending appeal.