Poor road manners might increase your car insurance premium. Check details

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New Delhi: You car insurance premium might increase or decrease your car insurance premium soon. The transport department is planning to recommend IRDAI to reward good road manners and penalise bad road manners. Drivers who have not violated traffic rules and have not been challaned in five years might be rewarded by low insurance premium, while regular offenders might have to pay a high premium, reported Times of India.

It may be noted that rules similar to this are already prevalent in countries like America where the insurance premium goes up by 30 to 40 per cent if the driver is a regular traffic offender. 

According to the national daily report, the digital database of all vehicles in Maharashtra on the Vahan software will be linked to the Insurance Regulatory and Development Authority of India (IRDAI) database soon. Maharashtra state transport commissioner Shekhar Channe was quoted in the report saying, “Once this is done, we will get direct access to all car insurance data and ascertain if any vehicle across the state has paid the mandatory insurance. If the owner has failed to insure a vehicle we will impound it and return it only after the premium is paid.”

At a road safety worshop held earlier this week in Mumbai, ICICI Lombard General Insurance’s chief of underwriting and claims, Sanjay Datta told the media that this information on penalty will help identify those who violate traffic rules and regulations regularly. In regards to insurance policy pricing, he said that the traffic police data will only serve as peripheral data since in India, pricing is vehicle specific and not driver specific as in the US, the report added.





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