Oriental, United India to refund excess vehicle premiums
By Jays Jacob | 18 Nov 2002
Kochi:
Oriental Insurance Company and United India Insurance
Company have also started refunding the excess insurance
premiums charged for vehicles, almost a week after the
other two public sector general insurance companies, New
India Assurance Company and National Insurance Company,
implemented the Insurance Regulatory and Development Authority
(IRDA) order.
In
view of the mounting complaints from motor vehicle owners,
IRDA had, on 28 October 2002, asked general insurance
companies to repay the loading of 100-per cent premiums
for motor vehicle insurance.
Insurance
company officials say they have received orders from their
respective corporate offices not to fix loading on to
the premiums. “However, the premiums that had been
hiked earlier from 8 to 40 per cent on vehicles of various
categories will continue.”
The companies, in the meantime, are wondering how to recover the commission paid to agents. While there is no commission on a third-party insurance amount, the companies pay commissions for comprehensive and own damage insurance cover.