If more than 2 traffic challengers were charged last year high motor insurance premium this year? Here is what experts say

Last month, according to the Times of India and Economic Times, officials are planning to connect unpaid challenges to the high premium paid for vehicle insurance insurance. According to the report, if a person forwards more than 2 destructive or pending drivers in the previous financial year, they may be forced to give more premium to their vehicle insurance policy next year. Similarly, if they violate traffic over ten years of age (in the case of diesel) or 3 years old (in case of petrol) or in a single year, they violate traffic at a minimum months for months. This may also include cancellation of the vehicle’s registration until the penalty is implemented.

In addition, if a person has not taken any action within the DAYS days of the run, it will automatically be considered as the entry of the owner of the vehicle.

People are surprised at the new financial year this month, and if there are more than 2 pending, unpaid, they will have to pay more motor insurance premiums at this time.

All these rules will be actively implemented from this financial year? We talk to experts and decode the case.

Currently in the draft phase; Any timeline of implementation

Akard Juris managing partner Ale Razvi says, “The current proposal has not yet been implemented, and it is still in the draft phase. Tracking the situation has been tracked by strategic and systematic challenges. According to them, this will not be easy to implement because it requires multiple privacy and compliance concerns under the Digital Personal Data Protection Act (DPDP). There is another challenge in the requirement of India’s statistics lawyer that this primary barrier is in a complex task of combining various state level databases.

“The insured must effectively implement this effectively, directly and real-time access to the government e-chalm system. Skeleability will depend on overcoming the challenges of this integration, ensure strict data privacy, and committed to investment of infrastructure,” he added.

Sonel, Alag and Kapoor Law Office Sonal Alag agree that the proposed rule of suspending driving licenses without paying the traffic e-challenge in three months has not yet been fully implemented.

However, multiple experts say that the integration of e-challan systems with insurance premium is in phases in multiple states in India. States like Delhi are also operating real-time data-certificates between traffic police and insurance companies through centralized platforms (eg, Parahan Portal)

How can a premium paid in the light of the driving of the insurance companies?

PSL lawyer’s partner Soyib Qureshi says, “The proposed rules suggest a tiered premium model, where 2 pending drivers in the financial year increase 10-20% premium.”

Others like Alag also expect that insurance companies can hire the point-based system in which each contributes to the score that determine each valid, unopposed moving premium rate.

However, experts estimate that the premium price will be mainly made by telemetics-based prices mechanisms. Insurance companies can use traffic violation history (eg more than two pending walks) as a metric to calculate the risk-based premium.

Significantly, telemetics-based insurance, which is also known as use-based or pay-like-you-drive insurance, allowing policyholders to pay premiums in time of driving time. With a one -year policy term, insurance companies measure the distance covered by your car, either by the vehicle’s odometer reading or by the policy that has to be installed specifically for it. One kilometer advantage with your existing motor insurance policy is also available as an add-on cover.

Since it is widely analyzed by the driver’s behavior and use patterns, insurance companies reward the drivers who are generally considered safe with a low premium, while dangerous drivers may be subject to high premium.

How will a mistakenly dealt with the mistakes generated?

The plan to implement such punitive measures against vehicle owners is not without practical challenges. Most of the time, the walking or incorrectly generated, which the drivers motivate people to compete in adults or virtual courts. However, if such moves are linked to premium calculations, they may probably inflate the premium paid even when the policyholder does not make a mistake.

The solution can be given to the vehicle owners. “The policyholder will have to dispute and resolve the movement at the beginning of the policy term or at the renewal. And if the issue is reduced or not resolved in a timely manner, then there is a risk of unjust premium rent,” said Razvi.

“The proposal to increase the premium of the insurance premium can be adjusted after the error is improved, the premium calculations can be adjusted after the error improves, but the exact method of handling is unclear. It may include providing evidence of incorrect charges or appealing authorities to determine the insurance premium.

Qureshi recommends that the insured should temporarily calculate the premium, the rent should be stopped until the resolution. He further said, “Verification, illegal chawra trigger returns. The regulator (eg, IRDAI) should order a transparent dispute system, in which the insurance companies must accept the legal legality before finalizing the premium,” he added.