The Ministry of Road Transport and Highways has informed about the increase in insurance premium in its latest notification. This is the first time that the ministry, in consultation with the insurance regulator IRDAI, has announced to increase the premium rates of third party insurance.
If you are planning to get a car, scooter or a new motorcycle, then increase your budget a little. The reason for this is the increase in the premium of third party insurance for all types of vehicles.
The new rates of premium will be applicable from June 1, the
Ministry of Road Transport and Highways has informed about the increase in insurance premium in its latest notification. This is the first time that the ministry, in consultation with the insurance regulator IRDAI, has announced to increase the premium rates of third party insurance. These increased rates of premium will be applicable from June 1.
The government has reduced the insurance premium for bikes
and scooters more than 150cc but less than 350cc to Rs 1,366 for scooters. Whereas for 2-wheelers with an engine capacity of more than 350cc, the insurance premium will now be Rs 2,804.
On the other hand, if you are going to get third party insurance at a single premium for 5 years, then the insurance premium for bike-scooter up to 75cc is Rs 2,901, for 75 to 150cc Rs 3,851, for 150 to 350cc Rs 7,365 and above 15,117 for the above vehicles.
Cars become expensive, third party insurance of such increased premium
cars will also become expensive from June. According to the notification, the insurance premium for cars with engine capacity up to 1000cc will be Rs 2,094. Before Kovid, it was Rs 2,072 in 2019-20. At the same time, the insurance premium for cars from 1000cc to 1500cc will be Rs 3,416, which was Rs 3,221 earlier. Apart from this, if the engine of your car is more than 1500cc, then now the insurance premium will come down to Rs 7,890. Earlier it was Rs 7,897.
The government has also increased the single premium for 3 years. It will now cost Rs 6,521 for cars up to 1000cc, Rs 10,540 for cars up to 1500cc and Rs 24,596 for cars above 1500cc.
Electric, hybrid vehicles will be cheaper The
government is promoting electric and fuel saving vehicles a lot. Therefore, there will be a 15% discount on the insurance premium of electric vehicles and 7.5% on the premium of hybrid electric vehicles. Apart from this, 15% and 50% discount will also be available on the insurance premium of school buses and vintage cars respectively.
What is Third Party Insurance
When buying a new vehicle, it is mandatory for its owner to take third party insurance (What is Third Party Insurance?). This insurance does not provide insurance cover to the vehicle owner but to the person who gets injured by his vehicle during a road accident. At the same time, the owner of the vehicle can choose one of the different insurance options to protect his vehicle, out of which one of the popular options is Bumper to Bumper Insurance. Click here for more information on this.
