Car and motorcycle insurance will cost more from April 1, 2017, with Insurance Regulatory and Development Authority of India (Irdai) granting insurers for changes in commission for agents.
The hike in premium for cars and bikes insurance is due to the new regulations and is expected to be limited to about 5 percent. The price increase will be in addition to the enhanced third party motor insurance rates, which too will come into effect on April 1, 2017.
The Irdai Regulations, 2016 (Payment of Commission or Remuneration or Reward to Insurance Agents and Insurance Intermediaries) comes into effect on April 1, 2017.
The regulations will bring about certain changes in commission/ remuneration and also introduce the reward system to insurance agents.
Based on the new rules, insurers might revise the pricing of their products in so far as the costing input linking to commission or remuneration is concerned, said the regulator Irdai.
Also, insurance companies will have to provide a certificate that there is "no detrimental change" in the insurance premium prices or any other terms of policies already sold.
Car and motorcycle insurance will cost more from April 1, 2017, with Insurance Regulatory and Development Authority of India (Irdai) granting insurers for changes in commission for agents.
The hike in premium for cars and bikes insurance is due to the new regulations and is expected to be limited to about 5 percent. The price increase will be in addition to the enhanced third party motor insurance rates, which too will come into effect on April 1, 2017.
The Irdai Regulations, 2016 (Payment of Commission or Remuneration or Reward to Insurance Agents and Insurance Intermediaries) comes into effect on April 1, 2017.
The regulations will bring about certain changes in commission/ remuneration and also introduce the reward system to insurance agents.
Based on the new rules, insurers might revise the pricing of their products in so far as the costing input linking to commission or remuneration is concerned, said the regulator Irdai.
Also, insurance companies will have to provide a certificate that there is "no detrimental change" in the insurance premium prices or any other terms of policies already sold.