Car owners in metro cities to pay up to 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).
- IRDAI Mandates Third-Party Insurance for Battery Operated Rickshaws
- By PolicyBazaar -
-
Updated: 12 July 2021 -
- 15681 Views
IRDAI Mandates Third-Party Insurance for Battery Operated Rickshaws The Insurance Regulatory and Development Authority of India (IRDAI) has made third-party insurance mandatory for battery operated rickshaws that do no...
read more - Telangana Recognises E-Motor Insurance Policies
- By PolicyBazaar -
-
Updated: 13 July 2021 -
- 7934 Views
Telangana Recognises E-Motor Insurance Policies Telangana Government has given recognition to é-motor insurance policies in the state in collaboration with the Insurance Regulatory and Development Authority of India ...
read more - With Rs 60.29 cr in Revenues, Future Generali Net Worth increases by 50% in FY 15
- By PolicyBazaar -
-
Updated: 15 July 2021 -
- 7394 Views
With Rs 60.29 cr in Revenues, Future Generali Net Worth increases by 50% in FY 15 The Indo-Italian JV Future Generali India Insurance recorded a 50% boost in its net income, with Rs 60.29 crore profits recorded for the...
read more - "No Compensation To The Owner If Vehicle Is Lost Due To Negligence"
- By PolicyBazaar -
-
Updated: 12 July 2021 -
- 6280 Views
"No Compensation To The Owner If Vehicle Is Lost Due To Negligence" In a judgment issued by the trial court, the owner of a vehicle cannot claim for any compensation if a vehicle is lost or damaged due to the owner’s...
read more - Odd-even Rule in Delhi to Lessen the Risk, Hence the Premiums
- By PolicyBazaar -
-
Updated: 16 February 2021 -
- 5214 Views
Motor insurance premiums are expected to go down as vehicles would be less prone to accidents due to the odd-even rule in Delhi. Only half the number of vehicles would ply on the roads on a given day. “The cars would ...
read more