Page 9 - Insurance Times July 2019

IRDAI proposes new rate IRDAI approves standalone OD cover
IRDAI has recently allowed insurers to issue standalone annual own damage
of third-party motor in-
(OD) cover for cars and two-wheelers, for both
surance premiums new and old, with effect from September 1.
In a recent announcement, IRDAI
"Consequently, the issuance of bundled policies
has notified for cars and two-wheelers will not be compul-
the premium sory," the regulator said in a partial modification
rates for pri- of a circular.
vate two-
The most recent circular on IRDAI sates that the
wheeler and
policyholders have the option to renew the OD component of a bundled cover
car third-party liability insurance
falling due on or after September 1, 2019, with the same insurer or different
cover for the financial year 2019-20.
insurer, on an annual basis.
The new rates suggest an increase
However, along with stand-alone OD and TP (third party) policies, the insurers
for two-wheeler and car third-party
will be able to offer package policies. IRDAI further said that long term, stand-
liability covers with effect from June
alone OD policy will not be permitted for the present. Last year, in order to
16, 2019. The highest percentage in-
implement the norms directed by Supreme Court, longer term third party cover
crease of over 21% will be for two-
for new vehicles, had been introduced by the regulator. The cover was three
wheelers with engine capacities be-
years for cars and five years for two-wheelers.
tween 150cc and 350cc.
In that respect, IRDAI had given insurers the options of providing long-term
From Rs 985 to Rs 1,193, the rates
package cover consisting of motor TP and OD insurance for three or five years
are being hiked. Vehicle owners will
as the case may be; or a bundled cover with a three or five-year term for the
now have to pay an extra Rs 208 this
third-party component and a one-year term for the OD.
year. However, there has been no
The IRDAI has asked the insurance companies to ensure that those seeking OD
change for two-wheelers with en-
should have a valid TP, while allowing standalone OD and TP covers. The intro-
gine capacity of over 350cc.
duction of the mandatory long-term TP insurance cover meant an increase in
As per the IRDAI notification issued
the cost of insuring new cars and two-wheelers.
on June 4, insurers have to ensure
that the third-party insurance is
List of Insurance Repositories updated as on June, 2019
made available at their underwriting
offices. License Name and Address of the Insurance Repository License Valid
Number Up to
Nomination of Single 1 M/s NSDL Database Management Limited 31/07/2021
1st Floor, Times Tower, Kamala Mills Compound,
Point of Contact for IRDAI
Senapati Bapat Marg, Lower Parel,
related Correspondences Mumbai – 400 013. Website: www.nir.ndml.in
IRDAI has advised all Corporate Sur- 2 M/s Central Insurance Repository Limited, 31/07/2021
veyors and Loss Assessors to nomi- Phiroze Jeejeebhoy Towers, 17th Floor,
nate an employee/officer of the Dalal Street, Mumbai – 400 001.
Telephone: 022-2272 1383
Company/Firm who will be the
Website: www.cirl.co.in
single contact point for the Author-
ity. The employee/officer should be 3 M/s Karvy Insurance Repository Limited 31/07/2021
of the level of Director/Partner of ‘Karvy House’, 46, Avenue 4, Street No 1,
the Company/Firm. It was advised to Banjara Hills, Hyderabad – 500 034.
intimate the Authority about the Website: www.kinrep.com
Name, E-Mail ID, Contact No of the 4 M/s CAMS Repository Services Limited, 31/07/2021
nominated employee/officer. The No. 158, Rayala Towers, 1st Floor, Anna Salai,
details may be sent by E-Mail to Chennai – 600 002. Telephone: 044 3021 2997
ravinder.kaur@irda.gov.in. Website: www.camsrepository.com

The Insurance Times, July 2019 9