Cars falling in the 1000 cc to 1500 cc segment will see a 6 per cent hike in the third-party insurance premium
New Delhi: Cars, motorcycles, and other categories of vehicles are all set to become expensive from June 1, the Ministry of Road Transport and Highways has in this regard issued a notification. The notification ha come from the Ministry instead of the Insurance Regulatory and Development Authority of India (IRDAI). The ministry in the notification said that along with the car prices, the different categories of vehicles will also see a hike in third-party insurance premiums. Notably, the price hike of the vehicles will increase the trouble for OEMs in the country as they are already struggling with chip crunch and raw material shortage.
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As per a report by Zee News, the motorcycles in the Indian market will witness a 15% premium hike. However, the hike will only affect bikes over 150 cc in the market, such as Bajaj Pulsar, KTM RC 390, Royal Enfield Bullet and many others in the segment.
It will be tougher for the middle-class as they will have to pay 17 per cent more insurance premium on a new two-wheeler in India. Combined with the recent price hikes by the manufacturers, the hike will add to the struggles of common people in the country.
Moreover, the private cars falling in the 1000 cc to 1500 cc segment will see a 6 per cent hike in the third-party insurance premium. The price increase, combined with recent manufacturer price hikes, will exacerbate people’s difficulties.
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In addition to this, a third-party premium for a new private car will be increased by 23% with engines up to 1000 cc. And the new cars with engines between 1000 cc to 1500 cc will witness an increase of 11 per cent in the third party insurance premiums.
