Govt. to Increase Third-Party Car Insurance Premium Rates
The Union Government along with IRDAI has proposed a notification to revise the rates of Third Party motor insurance premium for the financial year 2022-23. Electric vehicles, which were introduced to the market in the last few years, will also witness a revision in their base premium rates.
![]() |
Cashless Garages
253
|
Plan type
Comprehensive
|
Starting from
₹ 2,727
|
![]() |
Cashless Garages
268
|
Plan type
Comprehensive
|
Starting from
₹ 2,757
|
![]() |
Cashless Garages
1024
|
Plan type
Comprehensive
|
Starting from
₹ 2,868
|
Increase in Prescribed Base Premium of Third Party Motor Insurance
In consultation with the Insurance Regulatory and Development Authority of India, the Government has released a draft notification to revise the rates of third party premiums for car insurance for the FY 2022-23.
Third-party premium on private cars not exceeding 1000cc has been revised to Rs. 2,094. For cars ranging between 1000cc to 1500cc, the car insurance premium will increase from Rs. 3,221 to Rs. 3,416. Similarly, the premium for cars above 1500cc will be revised to Rs. 7,897 in FY 2022-23.
The government has also proposed a discount on the premium of electric and hybrid vehicles to encourage the usage of environment-friendly vehicles. A discount of 15% on the base third party premium rates has been proposed for electric vehicles. For hybrid e-vehicles, a discount of 7.5% has also been proposed.
Besides, a discounted price of 50% of the rates based on the former Indian Motor Tariff has also been proposed for private cars identified as vintage cars.
In the last two years, the rates of third-party motor insurance were not revised until now. However, the government has invited objections or suggestions on the proposed rates by all stakeholders by 14th March 2022.
- Transferring Car Insurance from One Person to Another
- By PolicyBazaar -
-
Updated: 05 April 2022 -
- 280619 Views
Transferring Car Insurance from One Person to Another An integral part of selling a car, for both the buyer and the seller, is ensuring a successful car insurance transfer to the new owner. But sadly, most people have...
read more - 9 Secrets That Your Motor Insurance Provider Won’t Tell You
- By PolicyBazaar -
-
Updated: 29 July 2021 -
- 217268 Views
9 Secrets That Your Motor Insurance Provider Won’t Tell You Due to the dangerous driving conditions, it is compulsory to have third party insurance for every vehicle plying on Indian roads. It ensures the overall saf...
read more - Money Saving Advice for All Car Owners
- By PolicyBazaar -
-
Updated: 27 August 2021 -
- 202459 Views
Money Saving Advice for All Car Owners After a dream home, a dream car is your second-largest purchase that you make in your lifetime. But the expense does not cease when you drive off the car dealer's lot. Read mor...
read more - Difference Between Comprehensive Insurance and Third Party Insurance
- By PolicyBazaar -
-
Updated: 09 February 2022 -
- 168933 Views
Difference Between Comprehensive Insurance and Third Party Insurance Comprehensive insurance is insurance coverage that pays for the repair or replacement of vehicle damages resulting from an incident. Comprehensive ca...
read more - Types of Motor Insurance
- By PolicyBazaar -
-
Updated: 26 June 2021 -
- 122335 Views
Types of Motor Insurance The word Motor broadly covers a lot of classes of vehicles plying on the roads. These may be two-wheelers like scooters and motorbikes, three-wheelers or four wheelers like private cars, jeeps, ...
read more