Irdai may hike third party insurance premium for cars, two-wheelers in FY20

The regulator has sought comments from stakeholders on the proposed rates till May 29

Third-party insurance premium for cars, two-wheelers and transport vehicles may go up with the regulator Insurance Regulatory and Development Authority of India (Irdai) proposing substantial increase in premium rates for the current financial year.

The Irdai has proposed to increase the Motor Third Party (TP) premium rates for cars below 1000 cc to Rs 2,120 from the existing Rs 1,850 for the fiscal 2019-20.

Similarly, for cars falling between 1,000 cc and 1,500 cc also, premium is being proposed to be increased to Rs 3,300 from the existing Rs 2,863. However, for luxury cars (with engine capacity of over 1,500 cc) no