Ministry of Road transport proposed a hike in the third-party motorinsurance premium for various categories of vehicle, leading to increase in insurancepremium cost of two-wheelers and cars from April 1, 2022.
The Ministry came out with a draft notification on the revised premiumcosts. It also invited stakeholders to produce their arguments by March-end.
As per the proposed revised rated, private cars with 1000 cubic capacity(cc) will be at the rate of Rs. 2,094 compared to 2,072 in 2019-2020.
For cars with 1000 cc to 1500 cc, the insurance premium rate willbe Rs. 3,416, which was previously Rs. 3,221. The owners of cars above 1500cc willsee a premium of Rs. 7,897 compared to Rs. 7890 previously.
For two wheelers over 150cc but not exceeding 350cc will attracta premium of Rs. 1,366, two wheelers above 350cc will attract revised premium upto Rs. 2,804
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Third party rates were notified by the insurance regulatorInsurance Regulatory and Development Authority (IRDAI) earlier. For the firsttime that the road transport ministry will notify the third party rates inconsultation with the insurance regulator.