How do long-term motor insurance policies proposed by IRDAI provide freedom and flexibility to the policyholder?

So, it is important to ensure its optimal performance and longevity. Other than regular visits to service centers, another way to ensure your vehicle’s motor health is safe and secure is investing in a comprehensive motor insurance  policy. *

IRDAI, Insurance Regulatory and Development Authority of India, with the vision to protect the interests of the policyholders, regulate-promote-ensure orderly growth of the insurance industry in India. As per the guidelines set by IRDAI, it is mandatory for every vehicle owner to have a motor insurance, to at least have a third-party liability cover, in case anyone is seen driving a vehicle without a valid motor insurance plan, he/she will be penalized. *

Even though it is mandatory for vehicle owners to have a motor insurance, the IRDAI guidelines offers freedom and flexibility with some changes to the existing rules and regulations. As both third-party liability and comprehensive coverage is a legal requirement for all vehicle owners and drivers that involve both private cars, two-wheelers, and commercial vehicles, below is a list of inclusions in the comprehensive policy offered by Bajaj Allianz General Insurance:

• Third party coverage: The third-party coverage will pay for the damage inflicted by a person on other people and their property in the case to fulfill your obligations.
• Personal accident cover: It will allow a driver or vehicle owner to compensate the third-party for a sum of INR 15 lakhs in case of permanent disability or death of a person.
• Damage due to man-made calamities: Inhumane activities like burglary, riots, strikes, malicious acts, theft, vandalism, and similar activities are also covered in your vehicle insurance policy. *

To ensure the vehicle stays at the top of its operational game, get a comprehensive motor insurance policy today.

Impact on policyholders:

• The Sum Insured for private cars up to three years will be based on road tax/registration, on-road vehicle price, and manufacturer accessories.
• The long-term policy expiry date and the third-party expiry date won’t match if you buy the standalone OD policy on different dates.
• Instead of basing the premiums on the IDV of the vehicle, geographical zone, car make, model, engine capacity, or others, it will depend on the individual’s driving habits.
• IRDAI has standardized the No Claim Bonus grid for all vehicle insurance policies with a renewal range of 20-50%.
• The Registration Certificate of vehicles on which theft and total loss/constructive total loss claims are made will be canceled, and the documents will be surrendered.
• The compulsory deductibles are now standard and the waiver on these deductibles are also lifted for less ambiguity.
• A standard grid is proposed to calculate the depreciation value of the vehicle that will be settled during claim settlement.
• The passengers in the motor vehicles shall receive Rs. 25,000 medical expense cover in case of accidents, and it lies under the basic policy.
• A Named Driver Policy is adopted for private cars and two-wheelers to incorporate the driver’s details in the policy schedule.
• Electric Vehicle insurance premiums will get a 15% discount. The liberty to withdraw the long-term cover from one company and switch to another is a customer-friendly move. With so many positive changes, vehicle insurance in India is certainly easy to afford. *

For more details, visit Bajaj Allianz General Insurance and get a quote today!

* Standard T&C Apply

Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read sales brochure/policy wording carefully before concluding a sale.