Insurance for car, motorcycle and health to get more expensive from April 1
Starting from the new financial year 2017, car, motorcycle and health insurance prices are expected to rise after Insurance Regulatory and Development Authority (IRDA) has given a green signal to insurers for a commission revision for agents.
- Mar 27, 2017,
- Updated Mar 27, 2017 11:55 AM IST
Starting from the new financial year 2017, car, motorcycle and health insurance prices are expected to rise after Insurance Regulatory and Development Authority (IRDA) has given a green signal to insurers for a commission revision for agents. The change in premium will be subject to a +/- 5 per cent of the existing rates. Additionally, third party motor insurers have also hiked premium rates which will come into affect along with the Irdai Regulations, 2016 from April 1, 2017. Not only do these regulations bring about revised commission/remuneration rates, they will also introduce a new reward system that will be put in place, said Irdai.
This system will allow insurers to relook the product prices they are currently offering and input prices related to commission/remuneration, added the regulator. However, Irdai stated that the premium rates change should only be limited to +/- 5 per cent change of the existing rates of the products and add-ons offered. To ensure this, insurers are required to produce a certificate confirming no major change in their premium rates on their policies and products sold.
Starting from the new financial year 2017, car, motorcycle and health insurance prices are expected to rise after Insurance Regulatory and Development Authority (IRDA) has given a green signal to insurers for a commission revision for agents. The change in premium will be subject to a +/- 5 per cent of the existing rates. Additionally, third party motor insurers have also hiked premium rates which will come into affect along with the Irdai Regulations, 2016 from April 1, 2017. Not only do these regulations bring about revised commission/remuneration rates, they will also introduce a new reward system that will be put in place, said Irdai.
This system will allow insurers to relook the product prices they are currently offering and input prices related to commission/remuneration, added the regulator. However, Irdai stated that the premium rates change should only be limited to +/- 5 per cent change of the existing rates of the products and add-ons offered. To ensure this, insurers are required to produce a certificate confirming no major change in their premium rates on their policies and products sold.