Bikes And Cars To Become Cheap From August, Check Details Here

Bhubaneswar: Are you planning to buy a new car or a two-wheeler in the recent future? If yes, then wait for a few days, until the beginning of August and you might get your vehicle at a cheaper rate.

The change in prices of vehicles will come into effect from August 1 due to the implementation of be new insurance rules by the Insurance Regulatory and Development Authority of India (IRDAI). IRDAI will be withdrawing its long-term insurance package plans of three or five years.

The rule mandating long-term motor vehicle insurance for three or five years will be replaced with one-year, own-damage insurance. This insurance cover will be a necessary when purchasing a new vehicle.

However, the third-party insurance cover will remain mandatory. The third-party insurance cover extends for three years for cars and five years for two-wheelers respectively.

The sales of automobiles dipped in the first half of the country due to Covid-19 lockdown. As the automobile industry is slowly opening up in the second half of the year, this decision by IRDAI might boost up sales.

This move by the IRDAI is also hoped to be welcomed by the potential customers.