The premiums for motor insurance policies are set to go up by at least ₹650, owing to an increase in the sum insured for the compulsory personal accident cover you need to take when you buy a motor insurance. The Insurance Regulatory and Development Authority of India (Irdai), through a circular released on 20 September, has instructed general insurance providers to increase the sum insured under the compulsory personal accident cover to ₹15 lakh from the present cover of ₹1 lakh for two-wheelers and ₹2 lakh for four-wheelers. The circular is based on directions the regulator received from the Madras high court.
Irdai has given insurance companies time till 25 October to file products, in accordance with the new guidelines.
