From September this year, the buyer of a new car or bike will have to take insurance as compulsory. By making a long-term premium payment, the price of the new car will increase. Along with this, the benefit to consumers is that they will get rid of the scam of renewing insurance every year.
The initial insurance cover for a new private car with a capacity of 1500 cc would be at least Rs 24,305, which is currently Rs 7,890. Similarly, for a bike capable of crossing 350 cc, 13,024 will be paid, which is currently 2,323. Insurance premiums will vary on each model.
The Supreme Court has ordered on July 20 that for the new car, third-party insurance cover is required for 3 years and for a 5 year insurance policy. The order will be complied with from September 1. The court has ordered all insurance companies to offer long-term third party insurance cover.
Companies will bring a package of Onbedmeas or third-party cover plans, or offer a long term third party and may offer a demo cover for one year.