The central government has recently notified the base premium for third-party insurance for unlimited liability for various classes of vehicles, including private cars, two-wheeler’s, and goods carriages – driven both by fuel and electricity. This may cause the price hike of electric vehicles and petrol and diesel-driven cars, as the insurance charges have been hiked. In a notification issued by the ministry of road transport and highway, it has been mentioned that the brand new charges will be effective from June 1, 2022.
According to the ministry’s notification, a discount of 7.5 percent on the premium shall be allowed for hybrid electric vehicles. However, EV third-party insurance rates have also been hiked.