[AZT]

I think the entire Motor Vehicles Act should be scrapped and re written in 2021.Everything should be on the table to be chopped and every policy should be evaluated as per 2021 conditions. Take best practices from other countries instead of regressing with both the 10 year NCR ban and also this (if it ever becomes law).

[tj123]

As per CNBC- Source

General Insurance Council (GIC) had a call with all general insurers on Saturday to discuss the mandatory bumper-to-bumper insurance and has already filed an affidavit before the Madras High Court seeking clarification on three important aspects -

First, whether the word bumper-to-bumper means own damage policy or something else like a 'zero depreciation policy.

Second, whether the court order makes bumper-to-bumper policy mandatory for five years where premium has to be paid upfront and third clarification has been with respect to the use of the term 'vehicles'. GIC wants to know if the order would apply on a certain class of vehicles or all vehicles.

[sidewinder_sk]

Got this message from Mahindra dealer in Pune:

Sir/Madam - The vehicle prices will increase approximately by 8-10% from 1-Sep 2021 due to following reasons -
1. 2-3% price hike
2. Discount/Exchange scheme reductions/withdrawal
3. 5 years insurance rule

So guess this ruling will apply pan-India.. Dealers are getting ready to implement.

[kumaranna]

Tamilnadu transport department has issued orders on the same and directing 100% compliance without any deviations.

[cloudno19]

Originally Posted by Turbanator

They should go ahead as per existing one year only. Am not sure if the insurance companies themselves are equipped to issue 3 year policies!

I am one of the person in this boat. To be honest there is confusion even at dealership level as they are unsure what this rule really means and while this may look win/win for Insurance, Government, dealers, Banks and complete loss for consumers like us, the dealers and possibly the Auto manufacturers don't see it that way, as this would seriously dent their business and are worried of loosing bookings due to this one stupid/unclear rule. People who end up stretching their budgets to get the best car that they can afford (most of us here) would be left with no choice but to either cancel their bookings or settle for a lower segment car.

I have read multiple articles on this, but to me it seems the courts are only asking to make 5 year bumper to bumper mandatory and it doesn't mention to purchase this at the time of buying the vehicle, it seems more like an interpretation (a wrong one to me).

At this point, my dealer is only procuring 1 year insurance and hopefully my car should be registered tomorrow/day after. Will keep this forum updated in case I face any hiccups

[Jude300]

Originally Posted by cloudno19

I have read multiple articles on this, but to me it seems the courts are only asking to make 5 year bumper to bumper mandatory and it doesn't mention to purchase this at the time of buying the vehicle, it seems more like an interpretation (a wrong one to me).

At this point, my dealer is only procuring 1 year insurance and hopefully my car should be registered tomorrow/day after. Will keep this forum updated in case I face any hiccups

Absolutely a clear case of misunderstanding and a wrongly written judgement. It doesn't give any clarity, it doesn't give any time and it doesn't seem to have been well thought. It make me think if there was more to just good intention in passing this judgement if you get what I mean. People in responsible positions should act responsibly.

Keep us posted of the developments and how your registration goes.

What is surprising is that the auto industry is silent. May be they are interpreting it in a different way? May be they will only insist on bumper to bumper insurance while registering the vehicle, not necessarily a 5 year one. They might make changes to the renewal of the policy where we will only would be able to renew as bumper to bumper insurance.

[cloudno19]

I was just following some twitter handles on this topic and it seems on the first day of this rule implementation Madras High court has decided to consult IRDAI and have put a stay on this order until 13th Sep for now, while GIC has requested for 90 days period of put in place necessary policy.

Can some legal minds following this topic be able to confirm this? I see this information coming from few individual and insurance related handles but nothing from any NEWS source.

@Moderators: My apologies if this is fake news or rumor, please feel free to take this post out.

Originally Posted by cloudno19

I was just following some twitter handles on this topic and it seems on the first day of this rule implementation Madras High court has decided to consult IRDAI and have put a stay on this order until 13th Sep for now, while GIC has requested for 90 days period of put in place necessary policy.

Apologies for repeated posts on this, but can confirm this order has been put in abeyance (a state of temporary disuse or suspension.)

Ref
https://www.moneycontrol.com/news/in...e-7417831.html

[matizcrazy]

These knee jerk specialists in the judiciary should be reined in; I am not sure who has the power to do so but these kinds of ' glory and fame' seekers are not helping the country.
If they really want to reform the system, they should direct the GoI to study the lacunae in such matters and find solutions within a reasonable time frame. These trigger happy individuals are part of the problem.

[Jude300]

Originally Posted by cloudno19

Apologies for repeated posts on this, but can confirm this order has been put in abeyance (a state of temporary disuse or suspension.)
[/url]

Comes with a sigh of relief. Sanity prevails. I still can't imagine how the judge could expect compliance in such a short time. Clearly shows he was not fully informed.

Anyway, this has now put a lot of people under undue stress. The govt. officials, insurance companies, buyers, auto industry and more. Atleast now they should wake up to the reality and pass necessary orders to clear the air of uncertainty.

[Anees_Offl]

Originally Posted by Jude300

Comes with a sigh of relief. Sanity prevails. I still can't imagine how the judge could expect compliance in such a short time. Clearly shows he was not fully informed.

Anyway, this has now put a lot of people under undue stress. The govt. officials, insurance companies, buyers, auto industry and more. Atleast now they should wake up to the reality and pass necessary orders to clear the air of uncertainty.

The same court has now put the insurance order on hold. This has created quite some confusion as to how the order can be implemented without consulting the IRDAI.

So, this is the good news for the time being.

[cloudno19]

Sharing an update on my vehicle Registration-

So as expected my car registration process went smoothly without any hiccups yesterday, hopefully by 13th September better sense prevails and a more logical and potentially beneficial ruling is being processed considering consumers interest at the center of any such policy rather than Insurance companies and Insurance body.

[saisree]

Madras HC has revoked this order today

Source

[som9729]

Originally Posted by Anees_Offl

The same court has now put the insurance order on hold. This has created quite some confusion as to how the order can be implemented without consulting the IRDAI.

So, this is the good news for the time being.

On that note, this order has been withdrawn today.
That means, this is now a non-issue.

https://www.livemint.com/news/india/...613199327.html

[Jude300]

Originally Posted by som9729

On that note, this order has been withdrawn today.
That means, this is now a non-issue.

Finally the confusion ends bringing a lot of relief for the prospective buyers. Many dealerships had to scramble to close the sales by 31st August because of this judgement. I was also a bit worried as it might impact my purchase too.

https://www.ndtv.com/india-news/madr...urance-2540438

[IamNikhil]

Originally Posted by saisree

Madras HC has revoked this order today

Source

Originally Posted by som9729

On that note, this order has been withdrawn today.
That means, this is now a non-issue.

https://www.livemint.com/news/india/...613199327.html

Literally seems like the black robes are having fun in playing ping-pong. Pity the dealers and people who had to go through trauma in trying to wrap their heads around the confusion created owing to the HC order. Good to know that better sense has prevailed now.