According to the general insurers, the steep hike in premium rates of motor third-party insurance proposed by IRDAI in some segments will help ease out losses, according to general insurers.
The Insurance Regulatory and Development Authority of India (IRDAI) proposed an annual hike in motor third-party insurance in the 15-50 per cent range in different categories of private and commercial vehicles.
“There has been a moderate increase in the last three years and the proposed hike is slightly higher in comparison,” said Sanjay Datta, Chief of Underwriting Claims and Reinsurance, ICICI Lombard General Insurance.
According to S Thirunavukarasu, Country Head-Underwriting and Claim (Motor), Royal Sundaram General Insurance Co, the proposed hike is in line with the overall claims expectation of the industry.
