Date of renewal of third party motor and health insurance policy extended

\The renewal dates of Health and Motor insurance policies which fall in the period from March 25, 2020, to April 14, 2020, have been extended till April 21, 2020, due to the coronavirus lockdown, reads the notification issued by the Ministry of Finance on April 1, 2020.

This means that your existing policies which are falling due for renewal from March 25, 2020, to April 14, 2020, can be renewed till April 21, 2020. One may still voluntarily visit the website of the insurance company and pay the premium through the online mode.

If your current compulsory third-party Motor insurance policy is expiring between March 25, 2020, and April 14, 2020, and you are not able to renew your policy because of country-wide lockdown then you can renew such motor insurance policy by April 21, 2020.

The two major components of a motor insurance policy are — Third-party Insurance (TP) and Own Damage (OD) Insurance. As per the Motor Vehicles Act, 1988, it is mandatory to insure one’s vehicle with a TP insurance cover, the premium of which is set by IRDAI every year.

According to the notification issued by Ministry of Finance, “The policyholders whose motor vehicle third party insurance policies fall due for renewal during the period on and from the 25th March 2020 up to the 14th April 2020 and who are unable to make payment of their renewal premium on time in view of the prevailing situation in the country as a result of Corona Virus disease (COVID-19), are allowed to make such payment to their insurers on or before the 21st April 2020 to ensure continuity of the statutory motor vehicle third party insurance cover from the date on which the policy falls due for renewal.”

Similarly, if your health insurance policy is expiring and is due for renewal in the period from March 25, 2020, to April 14, 2020, you can renew your policy by April 21, 2020.

As per the notification,” The policyholders whose health insurance policies fall due for renewal during the period on and from the 25th March 2020 to the 14th April 2020 and who are unable to make payment of their renewal premium on time in view of the prevailing situation in the country as a result of Corona Virus disease (COVID-19), are allowed to make such payment for renewal of policies to their insurers on or before the 21st April 2020 to ensure continuity of the health insurance cover from the date on which the policy falls due for renewal”. Any break in the renewal of a health cover may result in losing the benefit of the waiting period in the policy. Hence, it’s better to keep renewing without break and pay due premium online by visiting the insurer’s website.

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