The Ministry of Road Transport and Highways has published Motor Vehicles (Third Party Insurance Base Premium and Liability) Rules, 2022. The notification was issued on Wednesday in consultation with the Insurance Regulatory and Development Authority of India.
As per the latest notification, the rules shall come into force on June 1, 2022. The base premium for third party insurance for unlimited liability has also been notified for various classes of vehicles.
Following discounts in premium are also allowed in the rules.
-A discount of 15% has been provided for Educational institution buses
A discounted price of 50% of the premium has been allowed to a private car registered as Vintage Car.
A discount of about 15 % and 7.5% on the premium has been allowed for Electric and Hybrid Electric Vehicles, respectively.