- Home
- Motor Insurance
- General Info
- News - GCI
- Car owners in metro cities to pay up to 15% more towards motor insurance
Car owners in metro cities to pay upto 15% more towards motor insurance
After seeing claims worth more than Rs. 1500 crore due to the Chennai floods, insurance companies to raise the premiums for motor insurance by 10-15%. "We will have to build in the factor of flood for all big cities that are developing fast and premium should go up by 10%-15%,"—Vijay Kumar, head of motor insurance Bajaj Allianz General Insurance.
Chennai floods have seen record claims as much as double of what insurers faced during the Mumbai floods in 2006 and exceeded the claims at the time of Jammu & Kashmir and Uttrakhand floods. Insurance companies claim that the risk of insuring cars in metros likes Mumbai, Delhi, Chennai and Kolkata is much higher. Due to this, policy rates in flood related clauses are expected to be revised both in motor and property insurance.
Chennai experience has brought forward the immensity of claims in metro cities. Motor claims worth Rs. 30 to 50 crore have been paid by most of the motor insurance companies due to the floods.
"After the Chennai experience, we know that severity of claims is higher in metros, so there will be an increase in premium," stated SS Gopalaratnam (MD and CEO of Cholamandalam MS).
Find similar car insurance quotes by body type
Explore More Under Car Insurance
- Motor Insurance
- Car Insurance
- Zero Dep Car Insurance
- Compare Car Insurance
- Car Insurance Calculator
- Third Party Car Insurance
- Comprehensive Car Insurance
- IDV Calculator
- Best Car Insurance Companies
- Own Damage Car Insurance
- Electric Car Insurance
- Pay As You Drive Insurance
- Renew Expired Car Insurance
- Used Car Insurance
- NCB in Car Insurance

Car insurance Articles
- Recent Article
- Popular Articles

How to Reduce Car Insurance Premium?
Reducing car insurance premiums is simple and straightforward. By
Read more
Top 5 Car Care Tips to Beat The Summer Heat
The extreme heat and constant heat wave warnings have made
Read more
How to Check Car Owner Details By Registration...
Scenarios like hit-and-run accidents or purchasing a second-hand
Read more
Get Faster Claim Settlement with Policybazaar...
Getting your car insurance claim settled is no longer a hassle
Read more
Understand the Nitty-Gritty of Car Insurance...
Have you recently purchased a car insurance policy for your new
Read more
How to Check Car/Vehicle Insurance Status Online?
It doesn’t matter if you are an excellent driver or take your car out only once in a few months; your vehicle must
Read more
Getting Your Duplicate Car Insurance Policy is...
Losing your car insurance documents can be daunting. In such a state of affairs, the first thing that comes to your
Read more
How To Find Car Insurance Details By Registration...
Sometimes, you may face situations when you need car insurance or vehicle owner details but cannot readily access
Read more#Rs 2094/- per annum is the price for third-party motor insurance for private cars (non-commercial) of not more than 1000cc
*Savings are based on the comparison between the highest and the lowest premium for own damage cover (excluding add-on covers) provided by different insurance companies for the same vehicle with the same IDV and same NCB. Actual time for transaction may vary subject to additional data requirements and operational processes.
+Savings are based on the maximum discount on own damage premium as offered by our insurer partners.
##Claim Assurance Program: Pick-up and drop facility available in 1400+ select network garages. On-ground workshop team available in select workshops. Repair warranty on parts at the sole discretion of insurance companies. Dedicated Claims Manager. 24x7 Claim Assistance.