IRDA Order: Pollution Control Certificate mandatory to renew vehicle insurance cover!
Posted on: 25/Aug/2020 11:38:07 AM
Insurance Regulatory Development Authority (IRDA) of India has released a new order that pollution Control Certificate will be mandatory when renewing the vehicle insurance coverage.
As a preventive measure to reduce pollution, the standard quality of the vehicle engines was elevated from BS-IV to BS-VI. This has been implemented last April.
Apart from this, the central government has also planned to change the old vehicles which release a lot of smoke. However, this plan has not been implemented yet is kept pending.
Meanwhile, the Supreme Court, while conducting the enquiry on the petition submitted regarding vehicle pollution ordered that the insurance for the vehicles without pollution control certificate must not be renewed.
In this scenario, IRDA has sent a circular on 20th August to all Insurance Agencies. In this circular, it is mentioned that in case the vehicle owner does not submit the pollution control certificate for the vehicle, the insurance coverage for the vehicle must not be renewed.
Thus, a situation has arisen where the insurance cannot be renewed for the vehicles without pollution control certificate.
Presently, the processes of renewal of vehicle insurance or changing the Insurance Agency and other associated procedures have become online.
In this condition, a situation has arisen where the vehicle must be taken directly to the concerned office for getting the pollution control certificate.
The phenomenal increase in the number of vehicles with every passing year!
- The number of registered vehicles in the year 1951 was 3 Lakhs. In the year 2008, the number of registered vehicles is 10.5 Crores!
- However, this figure doubled by the year 2011! The number of vehicles registered in the year 2015 is 20.10 Crores!
- Statistics from the General Insurance Councils is that around 60% of the vehicles are not covered by insurance in India.
- If the pollution control certificate expires, insurance benefits cannot be availed.
The vehicles can be covered with insurance for a period right from 1 year to 3 years to even 5 years. However, a pollution control certificate has to be obtained once every 6 months. The Insurance Agencies mention that in case of an accident if the pollution control certificate of the vehicle had expired, the benefits of the insurance cannot be availed.
Charges: To obtain the pollution control certificate, the charges generally will be Rs. 60 to Rs. 100. The number of carbon particles emanated from the vehicle will depend on the quality of the vehicle engine, the age of the vehicle, and the fuel used.
