How withdrawal of long-term motor cover will benefit the consumers

Older policies of three and five years will continue till expiry

From August 1, the Insurance Regulatory and Development Authority of India (Irdai) has decided to withdraw long-term policies offering both own-damage and third-party insurance for three years and five years for two-wheelers and four-wheelers, respectively — a move that can make things better for consumers in some ways. Also, as Arun Singh Badhuria, head, motor insurance, Universal Sompo General Insurance says: “But the buyers of new private cars and two-wheelers must get the vehicle insured for third-party insurance for three years and five years, respectively.” 

The overall impact 

Aditya Sharma, business head, motor, Bajaj Allianz General Insurance says: “In general