Third-party vehicle insurance: Insurers in distress over three-year rate pause
2 weeks, 6 days ago

Third-party vehicle insurance: Insurers in distress over three-year rate pause

Live Mint  

Mumbai: General insurers issuing third-party vehicle insurance policies are grappling with rising underwriting costs as inflation and a near three-year pause on rate hikes eat into their business. The Insurance Regulatory and Development Authority of India, or Irdai, typically revises the premium rates for third-party vehicle insurance policies every 1-2 years under the Motor Vehicle Act. Third-party vehicle insurance premiums for motor vehicles depend on factors such as the cost inflation index, claims ratio, and underwriting losses data of all motor insurance companies operating in the country, say industry experts. However, Sumit Bohra, president of Insurance Brokers Association of India, said existing premium rates are reasonable and blamed the underwriting losses on the longtail nature of the third-party vehicle insurance business, which requires high provisioning.

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History of this topic

No third-party insurance? You may not get to buy fuel, FASTag.
1 month, 3 weeks ago

No third-party insurance? You may not get to buy fuel, FASTag.

Live Mint  

Want to buy fuel, get a FASTag, or renew your driving licence? The Union finance ministry has asked the road ministry to consider various measures to expand third-party insurance, which remains patchy despite stringent punishments listed under the Motor Vehicles Act, two people aware of the matter said. These include sending text messages to uninsured vehicle owners, as well as …

Uninsured two-wheelers are a major safety concern
2 months, 1 week ago

Uninsured two-wheelers are a major safety concern

The Hindu  

Each year, countless lives are lost on Indian roads due to accidents. This issue stems from three key factors: many bike owners avoid insurance to save money, and those who buy, often fail to renew policies and lack awareness about insurance products. Third-party insurance This mandatory coverage protects against liabilities arising from damage to someone else’s property or injury in …

What Is Third-Party Car Insurance?
9 months, 2 weeks ago

What Is Third-Party Car Insurance?

New Indian Express  

Accidents can happen to anyone, regardless of their driving skills. This motor insurance policy is broadly classified into three types, out of which today we will explore the most basic coverage, third-party liability insurance. Third-party car insurance, or basic cover or liability coverage, is mandatory for vehicle owners. If you have injured someone or damaged the person’s property, here is …

Demystifying Third-Party Car Insurance Everything You Need To Know For Budget Friendly Coverage
1 year, 6 months ago

Demystifying Third-Party Car Insurance Everything You Need To Know For Budget Friendly Coverage

ABP News  

New Delhi, August 31: Third-party car insurance is a type of auto insurance that provides coverage for the damages or injuries caused to a third party by your vehicle. Other Options While third-party car insurance is a legal requirement, there are alternative insurance options available that offer more extensive coverage for your own vehicle. These alternatives are: Comprehensive Car Insurance …

Why You Need a Third Party Insurance Policy: Key Advantages
1 year, 8 months ago

Why You Need a Third Party Insurance Policy: Key Advantages

India TV News  

In India, third party car insurance is a mandatory requirement for every vehicle owner as per the Motor Vehicles Act, 1988. It is a type of insurance policy that provides coverage against any legal liabilities arising from damages, injuries, or death caused to a third party involving the insured car. Financial Protection: Compensation Coverage: Third-party insurance covers the policyholder's legal …

Govt plans revamp of auto insurance policy
2 years ago

Govt plans revamp of auto insurance policy

Live Mint  

Uninsured vehicles plying on highways are set to be offered on-the-spot insurance cover, with the government discussing a plan that includes deducting the premium from the owner’s Fastag account. According to two people aware of the development, the Centre is discussing a mechanism that will provide mandatory third-party insurance cover for motor vehicle owners at the first instance when their …

Irdai proposes 3 years insurance cover for cars, 5 years for two-wheelers; Details here
2 years, 3 months ago

Irdai proposes 3 years insurance cover for cars, 5 years for two-wheelers; Details here

Live Mint  

Regulator Irdai on Wednesday proposed to introduce an insurance cover of three years for cars and five years for two-wheelers with an aim to allow wider choice to customers. The Insurance Regulatory and Development Authority of India has floated a draft on 'Long-Term Motor Products covering both Motor Third Party Insurance and Own Damage Insurance'. The draft proposes to permit …

Cars and Bikes to Be Costlier from Next Month as Govt Hikes Insurance Rates. Know More
2 years, 9 months ago

Cars and Bikes to Be Costlier from Next Month as Govt Hikes Insurance Rates. Know More

News 18  

Car insurance price for four wheeler and two wheeler owners are likely to be increased from June 1 this year. The speculation comes as the ministry of road transport and highways will increase the third-party motor insurance premium for various categories of vehicles with effect from June 1, it said in a notification. According to the revised insurance rates notified …

Third Party Insurance : IRDAI Decides To Withdraw Long Term Packages Of 3 And 5 Years
4 years, 9 months ago

Third Party Insurance : IRDAI Decides To Withdraw Long Term Packages Of 3 And 5 Years

Live Law  

The Insurance Regulatory and Development Authority of India has decided to withdraw long term packages offering third party insurance for 3 years and 5 years for four-wheelers and two-wheelers respectively, with effect from August 1, 2020.The long term packages were introduced following a Supreme Court direction in 2018 that all general insurers should offer 3-year third party policies for. The …

Share of third party cover rising in motor premia
5 years, 3 months ago

Share of third party cover rising in motor premia

Deccan Chronicle  

Chennai: The share of third-party insurance in motor premiums is rising. Till a few years back, the own damage share in motor premium used to be 60 per cent and third party, 40 per cent. However, the share of third party premium has since gone up to 52.7 per cent in 2016-17, 55 per cent in 2017-18 and further up …

Insurer Cannot Avoid Third Party Liability On The Ground Of Non-Registration Of Vehicle : Himachal Pradesh HC [Read Judgment]
5 years, 8 months ago

Insurer Cannot Avoid Third Party Liability On The Ground Of Non-Registration Of Vehicle : Himachal Pradesh HC [Read Judgment]

Live Law  

The Himachal Pradesh High Court has held that lapse of temporary registration of a vehicle does not amount to a breach of conditions of the third party insurance policy.Therefore, the insurer cannot seek to avoid liability to indemnify the owner in respect of claims arising out of accident caused by the vehicle after the period of temporary registration.An insurer is …

Buying car, bike insurance to be affordable from September
5 years, 9 months ago

Buying car, bike insurance to be affordable from September

Deccan Chronicle  

Mumbai: Effective September 1, motor vehicle owners would be able to buy a standalone annual "own damage" cover. In an order last year the Supreme Court had instructed insurers to provide long-term, three-year motor third party covers. For buyers of comprehensive insurance, buying three years own damage along with the three-year TP cover would mean a great deal of financial …

Decoding hike in motor insurance premium
5 years, 9 months ago

Decoding hike in motor insurance premium

Live Mint  

Mumbai: The Insurance Regulatory Development Authority of India has proposed to hike insurance premiums of two-wheelers and private cars purchased before 1 September. The proposed long-term three year premium for new private cars and five-year premiums of two wheelers remain the same. The three-year premium for new private cars below 1,000 cc is ₹5,286, for cars between 1,000 cc and …

Proposal to raise third party premiums
5 years, 10 months ago

Proposal to raise third party premiums

Deccan Chronicle  

Chennai: The insurance regulator has proposed higher motor third party premium rates for most vehicles, except vintage cars and electric vehicles for FY20. IRDAI has proposed to raise the TP premiums by 14.6 per cent for small cars not exceeding 1000 cc. For private cars falling between 1,000 cc and 1,500 cc, the premium can go up by 15 per …

What new motor insurance rules mean for you
6 years, 3 months ago

What new motor insurance rules mean for you

Live Mint  

Two big changes If you’ve bought a new car or a two wheeler this year, you should know about two major changes. “The Insurance Regulatory and Development Authority of India directed general insurance firms to offer only long-term third party cover for new cars and two-wheelers effective from 1 September 2018,” said Shreeraj Deshpande, principal officer, Future Generali India Insurance …

All New Vehicles Sold To Have Third-Party Insurance Coverage -3 Years For Cars And 5 Years For Two Wheelers [Read Circular]
6 years, 6 months ago

All New Vehicles Sold To Have Third-Party Insurance Coverage -3 Years For Cars And 5 Years For Two Wheelers [Read Circular]

Live Law  

With the Supreme Court refusing to extend the deadline, all new vehicles sold from 1st September 2018, should have mandatory third-party insurance coverageWhile considering a public interest litigation seeking guidelines for improving road safety filed by S. Rajaseekaran, Chairman & Head of Orthopedic Department, Ganga Hospital, Coimbatore, the bench comprising of Justice Madan B. Lokur. With the Supreme Court refusing …

Purchase of cars, two wheeler to become expensive as IRDAI mandates 3rd party insurance starting today
6 years, 6 months ago

Purchase of cars, two wheeler to become expensive as IRDAI mandates 3rd party insurance starting today

ABP News  

New Delhi: Purchasing a car or a two-wheeler is likely to get expensive from Saturday, as the Insurance Regulatory and Development Authority has made it mandatory for a purchaser to get a third party insurance, following Supreme Court order. The three-year third party insurance is going to cost Rs 5,286 for cars with engine capacity less than 1,000cc; whereas for …

New insurance rules: On-road car, two-wheeler prices to go up from tomorrow
6 years, 6 months ago

New insurance rules: On-road car, two-wheeler prices to go up from tomorrow

Live Mint  

Buying a car or two-wheeler is set to become expensive from Saturday as long-term third party insurance policy has been made mandatory by the Irdai following a Supreme Court order. In case of two-wheelers, the five year-third party insurance will cost ₹ 1,045 for vehicles with engine capacity below 75 cc, ₹ 3,285, ₹ 5,453 and ₹ 13,034. As per …

Third Party Insurance Of 3 Yrs For Cars & 5 Yrs For Two Wheelers Mandatory For Vehicles Sold From Sept 1 : SC [Read Order]
6 years, 7 months ago

Third Party Insurance Of 3 Yrs For Cars & 5 Yrs For Two Wheelers Mandatory For Vehicles Sold From Sept 1 : SC [Read Order]

Live Law  

The Bench also observed that number of deaths caused by potholes was “frightening”The Supreme Court has ordered that third party insurance coverage of three years for cars and five years for two wheelers should be mandatory for all vehicles sold from September 1. The Bench also observed that number of deaths caused by potholes was “frightening” The Supreme Court has …

Third Party Insurance Of 3 Yrs For Cars & 5 Yrs For Two Wheelers Mandatory For Vehicles Sold From Sept 1 : SC [Read Order]
6 years, 7 months ago

Third Party Insurance Of 3 Yrs For Cars & 5 Yrs For Two Wheelers Mandatory For Vehicles Sold From Sept 1 : SC [Read Order]

Live Law  

The Bench also observed that number of deaths caused by potholes was “frightening”The Supreme Court has ordered that third party insurance coverage of three years for cars and five years for two wheelers should be mandatory for all vehicles sold from September 1. The Bench also observed that number of deaths caused by potholes was “frightening” The Supreme Court has …

Car Insurance Gets Cheaper - Alto, Kwid, redi-GO Get Maximum Benefit
6 years, 11 months ago

Car Insurance Gets Cheaper - Alto, Kwid, redi-GO Get Maximum Benefit

ABP News  

Cars below 1000cc get a 10 per cent premium cut while vehicles bigger than that get a drop of 8.5 per cent The Insurance Regulatory and Development Authority of India has announced a price cut in car insurance from April 1, 2018. Small car owners benefit the most from this move, with a 10 per cent decline in third-party premium, …

Motor Insurance Is a Must Whether You Actively Use Your Car or Not
7 years ago

Motor Insurance Is a Must Whether You Actively Use Your Car or Not

The Quint  

Types of motor insurance plans In order to understand the amount of insurance coverage a vehicle off the road needs, you will first have to be clear on the different types of car insurance policies available in India. Third-party liability insurance - This is a standalone insurance plan that offers protection to a third party from accidents involving the insured …

Truckers to intensify strike against hike in insurance rates as talks with IRDAI fail
7 years, 11 months ago

Truckers to intensify strike against hike in insurance rates as talks with IRDAI fail

India TV News  

The ongoing strike by truckers against the hike in the premium of third party insurance is set to intensify with a Motor Transport Union official informing that a meeting with the Insurance Regulatory Development Authority of India failed to arrive at a solution. The ongoing strike across southern states is likely to result in rise in prices of essential commodities …

DYK: Third-party motor premium for cars to go up
11 years, 11 months ago

DYK: Third-party motor premium for cars to go up

Live Mint  

Insurance Regulatory and Development Authority has increased the premium rates for motor third-party liability cover. Motor third-party liability insurance covers expenses in case of damage by your vehicle to life or property of a third person. The premium of motor third-party insurance cover is controlled by the regulator and is tariffed. For other motor insurance covers such as own-damage cover …

Auto insurance premium to get costly by up to 20% from 1 Apr
11 years, 11 months ago

Auto insurance premium to get costly by up to 20% from 1 Apr

Firstpost  

Motor insurance premium is set to become more expensive, with IRDA allowing up to 20 percent increase in third party rates from April 1 in view of rising inflation and the history of claim settlement. New Delhi: Motor insurance premium is set to become more expensive, with IRDA allowing up to 20 percent increase in third party rates from April …

Motor Insurance Premium Rates Go Up
12 years, 11 months ago

Motor Insurance Premium Rates Go Up

India TV News  

New Delhi, Apr 1: Owners of cars, commercial vehicles and two-wheelers will have to pay more towards insurance with enhanced motor insurance rates coming into effect from today. The premium rates for third party motor insurance in certain cases will go up by as much as 40 per cent from April 1, 2012, as per the notification of the Insurance …

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