On account of ‘pay as you drive”, as the policy is legitimate for a specified number of kilometres, the premium will be lower than standard plans for some who utilize their vehicles infrequently.
WITH THE Insurance Regulatory and Development Authority of India (IRDAI) on Wednesday permitting general insurance agencies to introduce tech-enabled ideas of “pay as you drive” and “pay how you drive” for “own damage (OD) cover”, vehicle owners can now purchase cheaper insurance policies predicated on their driving behaviour, general upkeep of vehicle, mileage and usage pattern.
Source-