Insurers struggle to meet motor third party obligations set by Irdai

Inusrers with 5 per cent to 10 per cent share in Motor TP segment must expand their insurance by 7.5 per cent over the last year

General insurance companies are struggling to meet the motor third party (TP) obligations set by the Insurance Regulatory and Development Authority (Irdai) due to lack of access to data on insured vehicles and lack of demand from customers.

 

“Most insurance companies are struggling to meet the new TP obligations. There is mounting pressure on insurers to meet these new norms. We are trying to deploy more people and resources to meet these targets,” said an executive of a private sector general insurer.

 

According to Irdai norms, general insurance companies with market share of up to 2 per cent in motor