Insurance of Car Insurance, Bike and Scooter (Two Wheeler Insurance Premium) is going to be expensive again.Â
If you want to avoid this, then renew it immediately. Yes, insurance regulator IRDAI has proposed to increase third-party motor insurance premium.
The Insurance Regulatory and Development Authority of India (IRDAI) has said that it has proposed to revise third party premium rates for private two-wheelers and cars for the financial year 2022-23.
According to the new rates of premium, now the customer will have to pay more for third party cover of his private cars (Private Car Insurance) and two-wheeler (bike) vehicle from April 1, 2022.
Premium not increased for two years
Let us inform that IRDAI did not revise the premium rates in the last two years (FY 2020-21 and FY 2021-22). So, till now the rates remained stable, which was fixed by IRDA for the financial year 2019-20.
According to experts, this was an expected move on the part of IRDAI, as there was no change in third party premium for the last two times. This increase will be applicable to all private vehicles ranging from cars and bikes.
Third party premium increases every year
IRDA increases third party premium every year, but it was put on hold in the wake of the Kovid pandemic so that customers can get relief. When the number of third party claims started increasing during Kovid, General Insurance Companies (GICs) wrote to IRDAI about this.
In this there was a proposal to increase third party rates, which has now been accepted. This will affect the insurance premium of both Comprehensive Car Insurance and Third Party Insurance (TPI).
Since TPI insurance is mandatory by law, it will affect all customers. Customers who wish to avoid paying higher premium can renew their policy before the new rates are effective from 1st April 2022.
