Tariffs for Motor Insurance Go.....

So, as announced by the regulator, the tariff or regulated premium for motor insurance goes. While the Own Damage portion of the premium (i.e. the premium for the damage to your vehicle) has been freed from regulations, the Third Party premium is still regulated. The third party premium has increased for most category of vehicles and the administration of the third party premium and claims is not a matter of interest for the vehicle owner.

What would be of interest would be the movement of premiums for the own damage portion. Significantly the prices are expected to drop in most categories of vehicles and one would be richer by a few hundred or even a few thousands if he shops around for best price.

The correlation between the price and the service is not very clear and there is a possibility that your regular insurer on whom you have good trust may still be the cheaper one.

It would be an interesting situation to watch as motor vehicle premiums were relatively low even under the erstwhile tariff and it is further falling.

The last point of comfort for an ordinary customer is that the product (or the motor insurance policy) and its coverage remain the same across the industry. That is, the customer is comparing apple to apple when he checks the prices of various companies.

Venkat