Page 10 - Insurance Times November 2023

Provide insurance cover to staff travelling in employ-
Attention Subscribers
ers' vehicle: IRDAI tells insurers
Please renew your Subscription of The
IRDAI has asked general insurers to provide cover to employees travelling in Insurance Times Journal to receive
employer's vehicle. The Madras High Court had directed IRDAI to make IMT- copy of the journal uninterruptedly.
29 compulsory as an in-built coverage for employees while issuing a private
car policy for such vehicles. IMT stands for India Motor Tariff. You can now pay by GPAY, Phonepe,
Paytm, Amazon, ICICI Pay, BHIM UPI
"All general insurers carrying on motor insurance business shall provide the
cover to employees travelling in an employer's vehicle (including paid driver,
if applicable) under IMT-29 of the Indian Motor Tariff, compulsorily as an in-
built coverage while issuing private car policy for such vehicles," IRDAI said in
a circular.

IRDAI further said the compulsory cover of IMT-29 should be provided as an
in-built coverage under the Compulsory Motor Third Party Liability Section of
Private Car Package/ Bundled Policies and under standalone policies insuring
Compulsory Motor Third Party Liability.

Also, no additional premium should be charged until further directions, the
regulator added.
The Madras High Court had said that it becomes a nightmare for claimants to
recover compensation in cases where an employee meets with an accident -
- leading to severe injuries, or death -- while travelling in an employer's ve-
hicle. This leads to claimants' endless suffering, the court had said.

Irdai sets up panel to sim- 2047 to attain this objective, efforts are
being made towards creating a progres-
plify wording of insurance
sive, supportive, facilitative and for-
policies ward-looking regulatory architecture

Regulator Irdai set up a committee to to foster a conducive and competitive
simplify the wording of insurance poli- environment leading to wider choice,
cies to help people make an informed accessibility and affordability to policy-
decision before buying cover. The eight- holders," it said. Sashi Publications Easy Payment
member committee has been asked to
The panel has been asked to examine Modes :-
submit its recommendations within 8- i) UPI ID: SASHIBOOKS@KOTAK
the existing insurance policy wording
10 weeks.
and suggest "simple and plain" word- ii) GPAY: 9830171022@okbizaxis
In a circular, the Insurance Regulatory
ing that is legally correct and enforce- iii) PAYTM: 9830171022@paytm
and Development Authority of India
able. iv) NEFT: Current A/C
(Irdai) said policyholders often find it 402120110000327 of 'SASHI
difficult to comprehend the terms and "Suggest simple policy wordings that
conditions in insurance policy contracts clearly specify obligations and respon- PUBLICATIONS PRIVATE
LIMITED, Bank of India, VVK
because of the complexity of the lan- sibilities of each of the parties to the
Road Branch., Kolkata, India,
guage used. contract" is also one of the terms of
IFSC Code : BKID0004021
This causes confusion among policyhold- reference given to the panel. v) Credit Card:
ers while purchasing an insurance It has also been asked to suggest speci-
policy, Irdai said in an office order on fications like typefaces for written ma- www.sashipublications.com
'Committee for Plain Language for terial and presentation thereof, for For any query please call
Policy Wordings'. 9073791022/9883398055
both print/electronic records that are
www.sashipublications.com
"Irdai is committed to insurance for all easily readable and comprehendible.
10 November 2023 The Insurance Times