Motor insurance - the hike in motor Third Party insurance premium.



After a steep hike in premiums for third-party liability for 2017-18, the insurance regulator has now lowered the rates following protest by a section of truckers against the move to substantially hike insurance rates .truckers in the south went on a strike for about 10 days from April 1 and also held discussions with the regulator seeking the reduction in rates.

While there will be no increase in premium for private cars with engine capacities below 1,000 cc, for those above 1000 cc it will cost 28% more now. The hike for two-wheelers would be 16-28% and for commercial vehicles carrying goods, it will up to 28%.
The hike in motor TP insurance premium works out to about 28% now for cars in 1000-1500 cc and those exceeding 1500 cc. IRDAI had proposed a 40% hike in the rates earlier. Same holds true for the two wheelers in the 150-350 cc as well as those exceeding 350 cc.

There is however no change in the hike in rates for two wheelers in the 75-150 cc category, which stands at 16.3%. Motor third party insurance premium for small cars (up to 1000 cc) will continue to remain at Rs 2,055.

Are you finding difficulty in getting motor insurance ? Do you want motor insurance ? Is it important ?... 

Yes Seek advice of a financial_planner who will make ease for you.Just leave a missed call @022 62116588 and have a personalised financial plannner for FREE. MoneyMindz provides Free Financial Advisory, Financial Investment Services, Financial Planning, Certified Financial Planner Assistance, Retirement Planning Advisory, Free Financial Advisors, Online Personal Finance, On-call Investment Management, Best Financial Planner, CFP India, Personal Financial Planning,

IRDAI notified the revised premium for motor TP liability insurance cover for 2017-18 on Monday.

The regulator revises premium rates every year after taking into account the number of claims made and loss ratio for insurers. 
Irdai has reduced third-party premium rates for most truck categories in the second circular. For goods (exceeding 40,000 kg) carrying vehicles and public carriers it has been reduced to 33,024 from 36,120 notified on March 28. However, the rate has been increased 28% as compared to last year. It has also reduced rates for e-rickshaw and passenger carrying vehicles in its second circular.

You make like : Importance of Car Insurance

Mandatory cover

Considering the mandatory nature of third-party insurance, Irdai has asked insurers to ensure that third-party insurance is made available at their underwriting offices and through all available channels of distribution. Insurers cannot cancel the current insurance policies and issue fresh policies to effect the new premium rates. Motor insurance comprises own-damage and third-party #insurance and any vehicle that plies on the road will mandatorily need a third-party cover under the Motor Vehicles Act. Third-party liability is decided and awarded by the judiciary taking into account the age of deceased, earning capacity, wages, etc.

No comments:

/*Google analytics Code */