this is the reason for the increased rates
Auto News: Due to the decision of the Madras High Court, the scope of insurance will increase. Not only the driver of the vehicle, but the personal accident cover of all the people in it will now be necessary.
- It is necessary to get bumper to bumper insurance for 5 years
- Insurance’s on damage policy will also have to be taken
- Depreciation is not deducted in bumper to bumper insurance
New Delhi: From the coming September 1, buying a new vehicle in the country will become expensive. This will happen because of a recent decision of the Madras High Court. To buy a four wheeler from September 1, 10 to 12 thousand more may have to be paid as a down payment. Along with this, while making the down payment even while buying a new two wheeler, you will have to pay up to Rs 1 thousand more. Apart from this, the cost of insurance of the vehicle will also increase.
- Why would buying a new car be expensive?
Explain that as per the existing rules, third party insurance is necessary for 3 years for new four wheelers and 2 years for two wheelers. After the decision of the Madras High Court, from September 1, 5 years of bumper to bumper insurance will have to be done on the purchase of new vehicles. Apart from this, now you will also have to take an on damage policy of insurance.
- Extended personal accident cover
Know that till now the personal accident cover was only necessary for the driver, but after the order of the Madras High Court, the personal accident cover of all the people on the vehicle will also be necessary for 5 years. This means that buying a new car will now become expensive for the people. Due to this, car insurance done every year after the first year will also become costlier by 20 percent.
- What is bumper to bumper insurance?
Let us tell you that bumper to bumper insurance is a type of car insurance. In this insurance, complete coverage is given to the vehicle. Regardless of the depreciation in bumper to bumper insurance, the coverage is still complete. Depreciation cannot be deducted by the insurance company at the time of claim. In case of an accident, the insurance company pays the full amount to replace the parts.
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