Rising inflation rates have cut corners for all of us to maintain our spending wherever possible – one of which is our vehicles and their maintenance. There are some car-related costs that cannot be avoided, such as fuel, servicing and motor insurance. Regardless of the use of your vehicle, an order by motor insurance law must be complied with by the vehicle owner. In addition to a legal order, motor insurance is a thoughtful investment to protect one of your most valuable assets.
Third-party insurance companies may raise premium rates from 8 percent to 23 percent next week. The premium increase will take effect from June 1, 2022. There has been no change in premium in the last 3 years, reports Anurag Shah of G Business.
As inflation continues to rise, most of us cut corners wherever people can float, including car maintenance. Some costs related to fuel consumption, servicing and motor insurance vehicle. No matter which way you use the vehicle, motor insurance is a legal requirement that needs to be met. In addition to being a legal requirement, motor insurance is a great way to protect one of your most valuable assets.
However, this would prove to be good news for third party motor insurance providers. Long-term insurance is going to be most affected Companies have been demanding an increase in premiums for some time. Earlier, the amendment was supposed to be effective by April 2022.
New India is the only public sector listed company in the third party motor insurance sector. In addition, ICICI Lombard is a private sector listed company in the same category.
For more details, watch the full video here: –
Third party motor insurance premiums may rise next week
The new rates will be effective from June 1, 2022.
Potential growth from 6% -23% across segments
– Zee Business (ZeeBusiness) May 12, 2022