News & Latest Updates On Motor Insurance
Lok Sabha approves amendment to Motor Vehicles Act
The Lok Sabha has finally passed the Motor Vehicles Act of 2016 which includes a number of amendments. Some of the amendments of the Motor Vehicles Act are Rs.5 lakh compensation to the family of an accident victim within a month in the case of an accident, the contractor will have to pay a penalty if death is caused due to pothole or engineering fault, drunken driving penalty hikes, fine of Rs.100 crore for auto companies rolling out cars with faulty emission, etc.
17th April 2017
Hyundai Motor India sees new changes in key management positions
Auto manufacturer, Hyundai Motor India, has made key changes to a number of top-level management positions in an attempt to make a stronger impact in the car industry. Rakesh Srivastava, Vice President of Sales and Marketing has been promoted to Director of Sales and Marketing. Vice President of Production, Ganesh Mani S., has been elevated to the position of Senior Vice President of Production. Vikas Jain, Senior General Manager of Sales, has been promoted to Assistant Vice-President of Sales. Y. K. Koo, CEO and MD of Hyundai Motor India, has urged them to strive to achieve Hyundai Motor’s long-term vision of providing innovative products, becoming a leader in the auto industry, and providing a suitable work atmosphere for their employees. With two manufacturing units located near Chennai, India, Hyundai Motor India exports car models across all segments to over 87 different countries.
17th April 2017
Vehicle insurers to capitalize on government mandate
Insurance companies are all set to capitalize on the new government mandate which requires public transport vehicles to be equipped with location tracking devices. The rule will be applicable from 1 April, 2018, and it will be applicable to all public transport vehicles with more than a seating capacity of six and above. Companies have started insuring vehicles with telematics devices to track the driving pattern and engine conditions. Understanding the driving pattern can help the companies in providing specialized offers and discounts on premiums. The ‘Drive Smart’ vehicle tracking system launched by Bajaj Allianz has received positive response from customers.
14th April, 2017
Tata Motors to focus on rural markets for passenger vehicles
Having launched a series of vehicles at affordable prices, Tata Motors finds that rural India contributes a significantly large percentage to the overall sales. Product and geography are the two key areas of focus for the company, says Mayank Pareek, President, Passenger Vehicles Business Unit. Tata, at present, covers 59% of the automobile market in the passenger vehicle segment. Having devised its strategy underscoring the rural sector, the company plans to raise the sales figures in the days ahead. Pareek also says that there is not much difference in the finance penetration in rural India when compared to that of urban India.
13th April 2017
Vehicle Insurance Will Not Cover Drunken Driving Going Forward
Insurance companies will not cover accident related expenses if the driver is caught for drunk driving. The insurance companies in India has joined hands to implement this new rule. This was announced after the Motor Vehicles Amendment Bill was passed recently in the Lok Sabha. As per this new rule, the insurance companies in India will not cover accidents that are caused due to drunken driving. If the insurance company finds out that the driver of the car was under the influence of alcohol while the accident occurred, they will reject their claim. In this case, the driver of the car will have to take care of all the expenses incurred due to the accident. Nitin Gadkari, Minister for Transport, stated that the idea behind this rule being implemented is to avoid road accidents in India that are caused by drunk driving.
12th April 2017
Tata Tigor launched in India with a starting price of 4.70 lakhs
Tata launches its subcompact sedan, Tata Tigor, in India. The car comes in both petrol and diesel variants and houses a 5 speed gearbox. It comes in four variants namely, XE, XT, XZ, and XZ (O) respectively. The price starts at Rs.4.70 lakhs and it goes up to Rs.6.19 lakhs for the variant with higher specifications. Tata Tigor can be booked in dealership outlets across India for just Rs.5,000. The interior is adorned with superior quality plastics and fabrics. It is also fitted with halogen high beams and LED tail lamps. The petrol engine can generate up to 84 bhp of peak power and 114 Nm of peak torque. The diesel variant is turbocharged and can make 69 bhp of peak power and 140 Nm of peak torque. Tata is soon to launch an AMT version of the sedan.
12th April 2017
Car sales hit full throttle in March 2017
Following the slump in car sales following the demonetization move by the Modi-led Government, car sales have hit full throttle with a 10% increase in sales in the four-wheeler segment. In just 2017, car sales have already hit three million sales. Maruti Suzuki reported a domestic sale of 127,695 vehicles, growing at 7.4 per cent, while its competitors Hyundai grew 8% and Tata Motors by 82% in the month of March 2017 against March 2016.
11th April 2017
Tata Motors aims to climb up the rankings of best carmaker by 2019
Tata Motors plans on expanding its sales and service sector from 700 to 1,500 centres by the year 2019. The company ranked 5th among car manufacturers last year. Mayank Pareek who is the president of the company’s passenger vehicle business unit has said that Tata Motors has a presence in 59% of the market and this is expected to increase to 95% by 2020. The company will be putting in a lot of time, effort, and focus into the domestic market until it reaches its goal of becoming the third largest manufacturer of automobiles in India by 2019-2020.
Currently, the company has had minimum impact in the car market due to the ban on BS-III vehicles on April 1st. The company observed a growth of 22% last year and is looking forward to doing better this year.
11th April 2017
Ford India Sales Grow by 17.14% for March 2017
Ford India reported an increase in total sales for March 2017 by 17.14%. The automaker sold 24,832 units in March, compared to 21,198 units in the same month last year. Ford has made efforts to address the perception of cost of ownership. The company took the direction to provide a differentiated and transparent process that helped Ford reach growth rates above industry level in the first quarter. Domestic sales rose by 15% with Ford selling 8,700 units in March compared to 7,560 units in March 2016. Exports also saw a rise by 18.29% with 16,132 units, a significant jump compared to 13,638 units last March.
10th April 2017
Hyundai to introduce the Ioniq hybrid sedan at Delhi Auto Expo 2018
The second largest carmaker of the country, Hyundai Motor India is planning to enter the hybrid car segment of the domestic market with the introduction of the Ioniq. Hyundai intends to reveal the Ioniq hybrid sedan at the Delhi Auto Expo 2018. The show will be an ideal platform for the hybrid car’s official debut in the country. According to the Managing Director of the company, the Ioniq will be a CKD (Completely-knocked-down) unit and not a CBU (import). Hyundai India is planning to keep the price competitive at around Rs.25 lakh. The Hyundai Ioniq will be packed with a 1.6-litre GDi petrol engine generating of up to 105 PS of power and 147.10 Nm of peak torque. It will also carry an electric motor generating 43.5 PS of power and 170 Nm of torque. The Ioniq will work on a six-speed dual-clutch automatic transmission. The hybrid sedan is expected to return a fuel economy of 29.41 kmpl.
10th April 2017
Chairman Chandrasekaran to change the business plan for Tata Motors
In a bid to break into the top three largest passenger vehicle segment in the country by the end of 2017 and rise to the top three in the global commercial vehicles, Chairman Chandrasekaran is all set to change the game plan to make this happen. The Chairman said that business is about consistent success and that Tata Motors have been applauded in the past, but currently we are being criticised. It is upon us to change the game and get to a high, which we have seen in the past. He added by saying, the company has had successful launches in the last year, yet they need to look more deeply into product, quality and features to strive to be the best in class.
7th April 2017
Shuhul Motors and Hyundai Motor India Limited launch Hyundai Free Car Care Clinic
Shuhul Motors has joined hands with Hyundai Motor India Limited to launch the Hyundai Free Car Care Clinic in its Srinagar facility. The camp was inaugurated at the fully-equipped state-of-the-art facility by Director of Shuhul Group, Bilal Guroo. The CEO and other senior officials were also present at the inauguration, along with the Customer Support Manager of Hyundai Motor India Limited, Chirag Arora. The 10-day Free Service Clinic provides the customers with a number of facilities and benefits. The checks includes an all-inclusive 90 point check-up of the cars, covering areas such as transmission, electrical parts, suspension, AC, underbody, and engine check-up. Customers can also avail a 30% discount on labour, depending on vehicle age. Additionally, there were 20% flat discounts on spare parts and labour charges, as well as 30% discount on extended warranty. Mr. Guroo spoke about Shuhul Hyundai’s commitment to provide top of the class services to its customers.
7th April 2017
Special performance vehicles to be produced by Tata Motors and Jayem Automotives
An announcement was made by Tata Motors on Friday that the automobile giant will join hands with Jayem Automotives to design and produce prototypes of a range of special performance vehicles. The venture has been given the name JT Special Vehicles and will be explored at a dedicated production line in Coimbatore. The company is looking at producing the next level of enhanced performance and personalization vehicles by keeping the process of design, assembly, precision machining, and testing all under one roof. Guenter Butschek, Managing Director and CEO of Tata Motors, has said that the company is delighted with this partnership as Jayem Automotives is a company known for their concept creation and prototyping capabilities. Car insurance agencies are now coming up with new insurance plans that can offer comprehensive cover to those who opt to purchase these vehicles when they are ready to be sold.
6th April 2017
Sale And Registration Of Stolen Vehicles Will Not Be Possible Going Forward
Recently, The Cabinet has made amendments in the Motor Vehicles Amendment Bill which states that all vehicles will have a national registration. All the details of a vehicle like the chasis number, engine number, model of the vehicles, and the year of manufacturing will be available in the national registration very soon. When a person tries to sell or transfer the ownership of the vehicle, all the details of the vehicle will be verified from the portal. This will help greatly as people cannot steal vehicles from one state and sell it in another state. The Cabinet also fixed the immediate compensation to road accident victims. It is now set at Rs.5 lakh for death and Rs.2.5 lakh for serious injuries. They have also increased the compensation for hit and run cases from Rs.50,000 to Rs.2 lakh. The Bill also proposed a 10% annual increase in penalties for traffic and transport related offences.
6th April 2017
Amendments to Motor Vehicles Act approved by the cabinet
In what is a historical move to the aging Motor Vehicles Act, the cabinet has approved the newly issued amendments to the act. From now on, in order to increase authenticity and reduce duplicity of driving licenses, vehicle owners will now have to link their Aadhaar card to their drivers license. According to the cabinet members, the important aspects of the bill are 100 per cent e-governance to be brought in transport sector, adding identity verification using Aadhaar will be used, bad roads contractor to be liable for fine, drivers will included in third-party Insurance and Claims would be time bond.
5th April 2017
Toyota sees an 80% rise in sales in March
Driven by the sales of the new Fortuner models and Innova Crysta, Toyota has seen an 80% increase in sales in the month of March selling 13,800 units. For the fiscal 2016-2017, Toyota Kirloskar Motor has seen a growth of 11% selling 1,42,500 units. N. Raja, Director and Senior Vice-President of Sales and Marketing, has stated that the increase in growth was driven by the sales of Innova Crysta and newer models of the Fortuner. The company was concerned when a ban on SUVs and diesel cars with an engine capacity of 2,000cc and above was implemented by the Delhi government due to concerns related to pollution. But the company has made up for their absence in the market after the ban was lifted in August last year.
4th April 2017
Pune District Consumer Court Rules Consumer Not Bound By Tie-up Between Insurer & Vehicle Dealer
The Pune district consumer court recently announced a ruling following which will bring respite to many individuals. According to the ruling, a tie-up that has been established between an insurer and a vehicle dealer will not be binding on a customer who may purchase a vehicle from such a vehicle dealer.
This ruling came into effect due to a recent incident where the court directed the Bajaj Allianz General Insurance Company branch in Yerawada to refund the premium amount of Rs. 21,053, along with an annual interest of 9% calculated from September 20, 2014 and an additional fine of Rs. 5,000 to a resident of Daund. This verdict was given following an issue where the insurance company failed to renew the affected individual’s car insurance even though the individual had paid for the renewal premium via an online NEFT transaction. The interest component payable came out to more than Rs. 4,700. However, the company put forth the argument that the consumer failed to route the payment through the vehicle dealer via demand draft, as this was a requirement following the agreement between the company and the vehicle dealer.
The bench informed that there was ample documentary evidence produced by the complainant which brought to light the inaction on the insurer’s part. Despite the complainant supplying the insurer with documentary evidence regarding the payment of policy premium, the insurance company failed to renew the policy, which amounted to deficiency in service on the part of the insurer.
4th April 2017
IRDAI Submits Proposal To Hike Third Party Motor Vehicle Insurance
According to reports, IRDAI (Insurance Regulatory and Development Authority of India) recently submitted a proposal to hike premiums for third party insurance policies. The proposed hike will likely increase the existing premiums by as much as 50% for a majority of vehicle categories in the year 2017-2018. If the proposal is accepted, vehicles which have a capacity of 1000cc and above are more likely to attract a hefty premium going forward. For instance, vehicles with a capacity exceeding 1,500cc will likely be paying a premium rate of Rs 9,246, which is significantly higher than the present ate of Rs. 6,164. However, vehicles with a capacity below 1000cc will not have any rise in premium prices for third party policies.
As per the proposal draft, on an average, IRDAI is likely to hike the premium rates by 30 per cent for some categories, while for other categories, of private vehicles, the increase in premium rates could be as much as 50%. The 50% hike in premium rates will also be likely to be applicable on sports bikes and super bikes, which have a capacity of over 350cc. this category of vehicles will have the premium rates hiked to Rs. 1,194 from the current rate of Rs 796, which is almost a 50% rise. However, IRDAI has suggested that no change be made to premium rates for vehicles falling under the category of under 75cc engine capacity.
The proposal has also proposed an increase in premium rates for other categories of vehicle such as tractors, goods carrying public and private carriers (other than three wheelers). For tractors with a rating of up to 6HP, there will be no rise in premium. Vintage cars (vehicle which have been certified as vintage auto by Vintage and Classic auto Club of India) however, will be the likely beneficiaries of a 25% discount in premium rates.
3rd April 2017
February Sees Rise of 4.9% in Car Sales; Rise of 9% in Sales of Passenger Vehicles
The month of February seemed to clear the skies for the automotive industry as car sales saw an increase of 4.9% while sales of passenger vehicles rose by 9%. According to the data released by Society of Indian Automobile Manufacturers (SIAM), the sales of domestic passenger vehicle rose by 9.01 per cent and reached 2,55,359 units in February, against 2,34,244 in the corresponding month last year. Sales of domestic cars went up by 4.9 per cent and touched 1,72,623 units, as opposed to 1,64,559 in February last year.
However, sales of motorcycles saw a decline since last year by nearly 3.13 percent. The sales figures for motor bikes were recorded at 8,32,697 units while the sales for the corresponding month last year were 8,59,582. Also, coactive two-wheeler sales have also dipped marginally to 13,62,045 units in February as compared to 13,62,177 in February last year.
There has been a rise in the sales of commercial vehicles by 7.34 per cent. Unit sales figures touched 66,939 in February. Sales of vehicle across categories recorded a slight rise at 17,19,699 units as opposed to 17,03,736 in February 2016.
3rd April 2017
India to be the third-largest car market in the world by 2020
According to Suzuki Motor Corporation, India is all set to have the third-largest car market in the world by 2020. Considering that Maruti Suzuki has a hand in more than 50% of the passenger vehicle segment in the country, they wish to play a huge role in ensuring that India reaches the third spot by 2020. At the Geneva Motor Show, Kinji Saito, Executive General Manager and Managing Officer (Global Automotive Operations), Suzuki Motor Corporation, said that the company has begun operations on a new production facility - to meet the required demand. He expects the production plant to roll out 2 million units by 2020.
21st March 2017
Vehicle Insurance Mandatory For Fitness Test
Following a statement issued by the Transport Department, as of April 1, 2017, vehicles without a vehicle insurance will not be able to undergo a fitness test. The Transport Department has newly launched their new online data platform where individuals owning a vehicle would have to enter their insurance details. Now, owners of the vehicles have to present physical documents to the RTA office for fitness certificate and then the officials later would verify the papers before forwarding the application.
21st March 2017
Mahindra Verito To Be Remodelled To Take Over Ambassador
MD Pawan Goenka, recently stated that they are planning to remodel the Mahindra Verito to cater to the Indian taxi market. After the disappearance of the most popular car Ambassador, Indian taxi market did not know which car to choose. Therefore, Mahindra and Mahindra LTD. has planned has planned to redesign Verito to fill the void. Ambassador was sold to a French company PSA Group this year which forced the automobile manufacturing company to redesign their existing car. Mahindra is taking all the possible steps to occupy the space left by the brand Ambassador.
20th March 2017
Tata Motors Now Offers VRS To Employees
To trim costs, Tata Motors will now offer VRS option to their employees. This is an initiative that is a part of company restructuring. A spokesperson from Tata Motors confirmed that they have already finalized the top two levels of their management and that a proposal on VRS package has been approved the board. So far the number of employees who will be offered Voluntary Retirement Scheme is not known. This is not the first time this Mumbai-based company is offering VRS option to their employees. They offered the same option in the year 2015. Currently, Tata Motors has more than 60,000 employees globally.
20th March 2017
Sports car from Tata Motors to be revealed at the Geneva Motor Show
Tata Motors will be participating, for the 20th time, at the International Motor Show to be held at Geneva. The company has been showcasing concepts and prototypes at the show since 1998. This year, Tata Motors will be introducing its sports car at the show.
The vehicle will be the first car to be launched under the new sub-brand of the company, TAMO. The new segment will have niche models incorporated with advanced technologies. Tata Motors stated that the introduction of TAMO will help in co-designing the automotive footprint of the country.
The Geneva International Motor Show has also witnessed the introduction of Pixel and Megapixel from Tata Motors. The last year saw the introduction of TIAGO, TIGOR, and HEXA Tuff.
17th March 2017
Higher Premiums for Third Party Insurance
As per the law, it is mandatory for every vehicle owner to have third party insurance while own insurance cover is optional. For FY 2017-18, it has been proposed to raise the cost of insurance on most categories of vehicles by almost 50%. This means that the premiums for third party insurance will rise significantly. The reason behind this is that the government wants to take off the cap on the liability borne by insurers in the event of a claim that involves injuries and death due to road accidents. If the limit on the liability is removed, this means insurance companies will have to bear a higher risk and may have to shell out more on settling insurance claims. Certain categories have not been included in the premium hike that include smaller cars such as the Maruti Suzuki Alto, Tata Nano and the Datsun Go. Mini trucks and Pick-up vans have also been exempted from the hike.
16th March 2017
Reliance Jio to tie-up with AirWire for its backend car solutions
Reliance Jio has partnered with US-based AirWire for managing its backend ‘Jio Car Connect’ device. In an announcement made last year in September, Reliance Jio has also mentioned that it is also in discussion with automobile companies to integrate the devices in cars. Jio will be manufacturing the OBD (On-Board Diagnostic) device in India. This OBD module can plug in the device and track and record engine and other car related data. All the data is recorded and displayed through a mobile app. AirWire also offers other car IoT solutions such as an LTE mobile hotspot device, with LTE broadcasts, voice services, and WIFI, etc. The recorded vehicular data can be generate on-demand from a potential buyer or be shared with an insurance company or RTO. Car makers such as Tata Motors, Mahindra, and Honda have also launched their own connected car solutions.
14th March 2017
Maruti Suzuki to Launch 4 New Models and Facelifts
Maruti Suzuki, India’s leading auto manufacturer, is set to ramp up its product strategy by introducing four new models and facelifts for 2017-18. Two cars that will receive facelifts are the Dzire and the Swift. The Swift is expected to be unveiled at the Auto Expo 2018. The Vitara Brezza petrol will also be launched. Maruti Suzuki’s plan for 2016-2020 was to launch 15 new models and facelifts in its range. Eight out of the 15 models have already been revealed and launched.The number of launches this year will be double compared to last year. For the fiscal year 2016-17, by February end, the car maker had already recorded a growth rate of 11%. The company plans on outperforming itself next fiscal.
13th March 2017
Up to 50% hike in motor insurance premium proposed by IRDAI
Regulator IRDAI (Insurance Regulatory and Development Authority) has proposed up to 50% hike in the mid-segment cards of 1,000 – 1,500, bigger cars, as well as SUVs. The proposal calls for an increase in premium to Rs.3,355 for cars up to 1,000 cc, while the increase proposed for bigger cars is Rs.9,246. However, there has been no proposal for increasing third party motor insurance premium for small cars that are up to 1,000 cc. There has been no change proposed for two-wheelers with engines up to 75cc. Meanwhile, IRDAI has proposed an increase in premium from Rs.796 to Rs.1,194 for sports bikes and super bikes with engines more powerful than 350 cc. The increase in premium has also been proposed for entry level bikes with engines ranging from 77 – 150cc and performance category bikes with engines from 150 – 350 cc. A 50% hike in premium rates has also been proposed for various categories of goods carrying vehicles. IRDAI has stated that proposed premiums have been based on accident related data from 2011-12 to 2015-16. This data has been provided by IIBI (Insurance Information Bureau of India).
10th March 2017
Artificial intelligence, interactive navigation and more in Tata cars of the future
Microsoft and Tata Motors are working on a driverless car concept which could hit the markets in the near future. Tata Motors, India’s biggest vehicle manufacturer, will offer a number of features with its driverless cars from predictive maintenance, remote monitoring of different features of the vehicle, over-the-air updates, external mobile experience, advanced navigation, and vehicle centric services. Tata Motors and Microsoft have been working together from last year and have been striving to develop the technology required to make this concept come true. Microsoft plans on using their products like Outlook, Office 365, Skype for Business, and Power BI for India. Managing Director of Tata Motors, Guenter Butschek, has stated that the company is moving towards an “out of the box” thinking when it comes to developing this concept and improving products and services.
9th March 2017
IITs working on developing driverless cars in India
Three IITs, IIT Kharagpur, Bombay, and Kanpur are reported to be working on the development of autonomous vehicles in India. The head of IIT Kharagpur’s Autonomous Ground Vehicle project stated that they are developing the technology for driverless cars for the Indian market. Toyota Prius and Tesla’s Model X have formerly introduced hybrid vehicles to India. The next stage of automotive evolution is expected to be the development of driverless cars. IITs have not disclosed the names of the companies involved in these projects, due to confidentiality agreements. At IIT Bombay, a team of students are working on developing the driverless technology. They have stated that the car will be built from scratch at the institute. The only components that will be outsourced are the sensors. IIT Kharagpur and Bombay are testing this technology on Mahindra’s E2O electric car. Also, Continental is reported to be helping students develop the technology through sponsorship.
9th March 2017
Mahindra and Mahindra’s hold rating target price set at Rs.1272 by Axis Direct
Mahindra and Mahindra saw a 5% beat on its Q3 EBITDA. The management has indicated an opportunity for growth when they didn’t provide a FY18 guidance for tractors. Mahindra and Mahindra is looking at a 12% growth factor for tractors in FY18 after a seeing a 20% growth factor in FY17. While rural demands have been misconstrued, there are indicators that point towards an improvement of ground realities post demonetization.
7th March 2017
Passenger vehicle sales go up 14% in Jan, car sales record 11% hike
Domestic passenger vehicle sales went up by 14.4%, by recording sale of 2,65,320 units in January from 2,31,917 units in the same time last year. According to the Society of Indian Automobile Manufacturers’ (SIAM) data, domestic car sales rose 10.83% from 1,68,303 units in January last year to 1,86,523 units this year. Meanwhile, motorcycle sales dropped 6.07% from 8,72,323 units recorded last year to 8,19,386 units this year. Total two-wheeler sales also fell by 7.39% in January from 13,62,879 in the previous year to 12,62,141 units.
Commercial vehicle sales also dropped marginally recording 61,239 units in January. While, vehicle sales across categories recorded a 4.71% drop from 17,00,141 units last year to 16,20,045 units in January 2016.
6th March 2017
Mahindra & Mahindra looks to increase its share by 3-folds in 5 years
Mahindra & Mahindra have now initiated the process of investing a large sum of money amounting to Rs.700 crore which will be used to develop a new range of light commercial vehicles and intermediate commercial vehicles. The company is expected to launch around 15-16 different models of light commercial vehicles and intermediate commercial vehicles within the next two years. Mahindra & Mahindra have a 3.5% share and a 9% share in the heavy commercial and light commercial vehicles market respectively with Ashok Leyland and Tata Motors being their major competitors. Managing Director and CEO of Mahindra Trucks and Busses Ltd. Nalin Mehta has stated that the company’s bus and truck division could become a profit centre within the next five years or even sooner. He also mentioned that engines for intermediate commercial vehicles are in development in Chennai by the company’s highly skilled workers.
3rd March 2017
Honda to set up new plant in Gujarat for the WR-V
Honda revealed the Honda WR-V 2016 at the Sao Paulo International Motor Show 2016 held in Brazil. The launch in India is expected to take place on 16th March 2017. Honda has two manufacturing units in India. The company recently purchased 380 acres of land located in Vithalapur, Gujarat, for a third facility which will handle the manufacturing of the upcoming compact SUV. The investment in the new plant amounts to Rs.1,000 crore. This plant will help reduce waiting periods for customers across all the Honda models. In January 2017, there was a decline in sales at 16,574 units compared to the same month of 2016 at 17,135 units, indicating a drop by 9%.
3rd March 2017
Hyundai Motor to launch 8 new products by 2020
Hyundai Motor will soon be expanding its product line in the domestic market through the launch of 8 new products by 2020.
Hyundai Motor India MD and CEO, Y K Koo, mentioned during the National Dealer Conference in Seoul that the company has announced new products in order to gain a strong leadership in the Indian automobile market. He stated that there will be 8 new launches, including segment products and full model changes, in addition to facelifts and product enhancements. The company is also expected to release new technology into the market, including automatic manual transmission, mild and full hybrid, and turbo gasoline engine.
The CEO further stated that the digital campaign following the release of the upgraded Grand i10 was an innovative method for a launch. The campaign was well received by the audience and has triggered 71,000 enquiries and around 8,500 bookings.
Koo also mentioned that the company has adopted 33 Government sponsored ITIs and 5 polytechnics, as part of their Corporate Social Responsibility initiatives. Additionally, the company plans to adopt 60 villages in the future.
2nd March 2017
4th water ATM set up in Manesar by Maruti Suzuki India
The water ATM, which is capable of generating 1,000 litres per hour of purified water was recently inaugurated by Maruti Suzuki India. This water ATM will provide purified drinking water to the inhabitants of Bas Hariya village, Manesar. 96,000 litres of water is expected to be supplied to over 7,000 households in this area. This is the 4th such ATM set up by the automobile company with three others located at Dhana, Kasan, and Bus Khusla villages. Maruti Suzuki India Head CSR, Ranjit Singh, has said that after a study that shown that pure drinking water was absent in these areas, the company decided to set up these water ATMs which would provide safe drinking water to the community. Maruti Suzuki India has taken care of the initial cost of the project while the panchayat of Bus Hariya village will own the project and provide electricity and water which will be used to run the ATM.
1st March 2017
Autopilot mode in cars soon to be a reality
You might have seen them in Hollywood movies but autonomous cars are soon going to become a reality.
Google is about to complete work on its autonomous cars. Soon Tesla owners will be able to enjoy the "Autopilot" feature in their cars making their driving experience hassle-free. Residents of Pittsburgh will soon be able to book an Uber that will drive itself.
The autonomous car program of Google is in its final stage. Once done, it will enable its Tesla drivers to put their car on 'Autopilot' mode that will ensure easy motorway driving. The tech giant is coming up with an innovation that will avoid injuries in an accident. Google has already filed for a patent for the car that is being believed to minimize the force that another vehicle might feel once they collide with the car on autopilot mode.
This technology will have a computer device receive information that a driverless car is about to crash with another object. The device will then lead to the car's panels to move back which will absorb the force.
Interestingly, this device will be able to determine approximately how much force the car would need to handle the collision and reduce the damage to the other object.
28th February 2017
Toyota Corolla Hybrid to meet a launch date set for sometime this year
Toyota, a Japanese automobile manufacturing company, is now moving quickly towards the company’s goal of introducing the Corolla Hybrid sedan this year in India. The most common model in the market is the Corolla E170 which is more upmarket and larger. The hybrid vehicle will share the drivetrain with the recently launched Prius which runs on a 98 bhp VVT-I petrol engine that is coupled with a 71 bhp electric motor. Toyota claims that the car gives a 23 kmpl mileage but the Indian version will see a couple of changes and these specs will differs a little. The hybrid Corolla will meet a launch date set for the US market by 2018.
27th February 2017
Insurance repositories to start servicing health and motor products soon
Insurance repositories are now looking at servicing motor-vehicle and health insurance policies which would reduce the amount of time taken for a policyholder to receive their claims and also help in reducing the premium cost. According to a senior official with the Department of Finance Services in the Ministry of Finances, the government has held discussions with various insurance companies and have asked them to cater to the needs of customers more diligently. The government is said to be striving towards promoting digital services which could help in issuing insurance policies electronically. This can help curb the time taken to issue an insurance policy to a customer. Currently, CAMRep, Karvy, CDSL, and NSDL are the four insurance repositories that service close to six lakh life insurance policies. This is just a fraction of the 37 crore policies that have been taken out by the people from various insurance agencies. Surprisingly, none of these four insurance repositories have any no tie-ups with any public sector insurance company.
24th February 2017
Hindustan Motors Has Sold The Ambassador Brand To Peugeot
The Ambassador, the iconic car brand owned by Hindustan Motors which was a trademark of the 90s, has been recently sold to French automaker, Peugeot. Hindustan Motors is owned by the C K Birla Group, who recently finalized the sale for Rs. 80 crore. the Ambassador itself went out of production about 3 years back. For those who grew up in the 60s and the 70s, the Ambassador was more than just a car. It was truly an inseparable part of the country’s urban landscape. Hindustan Motors introduced the Ambassador brand nearly 7 decades ago as a new avatar of the Morris Oxford series II (Landmaster). While obviously lacking pleasing aesthetics in terms of its design, the Ambassador served its purpose splendidly, considering there weren’t many car manufacturers in India in the early 70s and before. Remembered with fond memories or more innocent times and younger days, the Ambassador soon became a icon of national fame as it dominated the Indian roads until the Maruti 800 was launched.
With the launch of the Maruti 800, Ambassador sales started to go downhill from 24,000 units a year in the mid-1980s, to less than 2,500 units in 2013-14.
22nd February 2017
In-Car Audio Systems Are Evolving To Offer A Connected Ride
Audio technology has gone a tremendous change as compared to older times. CD players and cassette players are obsolete and have given way to coin sized music players and storage devices which give you hundreds of gigabytes of storage. Considering this, it is only time that in-car audio tech also undergoes a transformation, which it rightly has. Leading automakers such as BMW, Mercedes, Audi and many more are working to provide car owners with a car ride which is not just comfortable and luxurious but also entertaining. Infotainment systems on cars now include features such as wireless streaming, cloud storage, and a host of other features to allow the driver to stay connected to the world around.
With changing ways of music consumption, more and more automakers are doing away with CD players for music playback, replacing it with USB and AUX ports allowing drivers the freedom to access their music. In global circles, app-based infotainment systems are gradually rising in popularity. Automakers like Kia and Ford integrate Sync and UVO to their vehicles, respectively. Need driving instructions? Text-to speech based on an AI interface for Audio-Visual control, speed-determined volume levels, video playback on neutral, several other similar features are now being included on cars.
21st February 2017
Automobile sales report in January 2017
The sales of automobiles in January showed positive and negative trends across various segments. In the market of passenger cars, industry leaders such as Hyundai Motor India and Maruti Suzuki India have observed growth in double digits. However, companies like Mahindra & Mahindra and Honda Cars India continued to report reduction in sales. Maruti Suzuki sold around 1.34 lakh units in January this year, which is a 26% increment in sales when compared to the same time last year. Hyundai Motor India sold 42,017 units last month, observing a 10% increase in sales when compared to the same interval last year. Tata Motors observed a 21% increase in sales from the success of its small car Tiago, selling 12,907 units last month. Toyota Kirloskar Motor also achieved a 21% sales increase, riding on the success of the new Fortuner. They have sold 10,336 units last month. On the other hand, M&M recorded a 9% decline in sales this year, selling only 20,096 units in January 2017. They had observed sales of 22,088 units in January 2016.
The industry has hence, been seeing mixed reactions and the categories of commercial vehicles and the rural automobile market continue to see challenging times.
20th February 2017
Annual Profit of Honda Raised as Yen Weakens
On account of a weakening yen, Honda Motor Co. raised its annual profit forecast recently. Cost-cutting was another major factor in the rise in forecasts. Honda Motor Co is the third largest automaker in Japan. Honda has estimated that for this year through March, the company’s profit will reach 545 billion yen (approximately $4.82 billion). The operating profit forecast has also been raised to 785 billion yen, on account of its previous profit of 207.6 billion yen in October-December. Experts estimate that the company will post an annual net profit of 533.44 yen and an operating profit of 753.27 yen. Owing to the booming business in China with Civic and XR-V sales surging, the company has now invested in its 7th plant putting in $436 million.
16th February 2017
Tata Motors introduces TAMO sub-brand
Tata Motors Ltd. intends to win back the competitive passenger vehicle market in India which seems to have been taken over by local rivals and foreign brands. Tata Motors has unveiled a dedicated vertical within its passenger vehicle business – TAMO, in an attempt to explore new business models and form partnerships for future innovative solutions. According to the company officials, Tata also aims at reducing the number of platforms from six to two in order to decrease complexities and bring down costs, and make the business more future ready. However, the officials did not comment on the plans for Nano
TAMO will serve as an open platform that will enable networking with global start-ups and leading firms to access latest trends, solutions, and innovation for future products and services. The first product by TAMO is expected to be a luxury sports car which will be premiered at the 87th Geneva Motor Show on 7th March. This sub-brand claims to have potential to transform Tata’s brand image and enable the company to connect with the gen-next consumers. Those interested in buying the latest from TAMO can compare car insurances online to bag the best deal.
15th February 2017
Future Generali India in a corporate agency tie-up Bank of Maharashtra
Private sector general insurer, Future Generali India Insurance has joined hands with Bank of Maharashtra (BoM) in a corporate agency tie-up. This tie-up will enable customers of BoM to buy products such as motor insurance, rural insurance, shopkeeper insurance, and home insurance from any of the 1,896 branches of the bank. MD and CEO of Future Generali India, KG Krishnamoorthy Rao stated that bancassurance is one of the significant avenues that help in distribution of insurance products to a wider audience. He also added that association with the Bank of Maharashtra will help the company in building a robust outreach network for its customers.
14th February 2017
D&B reports a steady growth in the auto market for 2017
Dun & Bradstreet has reported a steady growth in the auto industry which is said to continue into 2017. This growth is expected in all vehicle categories such as passenger and commercial vehicles and two and three-wheeler vehicles. The only factors that could pose a problem to this rise in growth is the status on society’s recovery from the recent note ban and the new reforms expected from the GST. Auto sales in India grew by 9.2% which was primarily because of the 9.6% rise in two-wheeler sales in 2016. Car sales saw a decrease of 7% in sales while the sale of commercial vehicles has grown by 7.8%. This positive sentiment follows the recent rise in demand for car and two-wheelers by the people in rural and semi-urban areas. Subsequently, insurance agencies have also seen a rise sales of car insurance and two-wheeler insurance policies.
13th February 2017
Nexa outlets to increase twofold by 2020
Maruti Suzuki plans on doubling the number of Nexa outlets in the country to 400 by 2020. This decision was made to meet the growing demand for the products offered by Maruti Suzuki. R.S. Kalsi, Maruti Suzuki India Executive Director of Marketing and Sales, has stated that by the end of FY 2016-2017, the number of Nexa outlets should reach a total of 250 to be on track with the company’s 2020 goal. Nexa has been used to sell Maruti’s premium products like the S-Cross, Baleno, and Ignis. Nexa showrooms have been conceptualized to entertain Maruti’s high-end customers. The premium cars are priced at affordable rates and if these rates seem too steep, car insurance agencies have come up with budget friendly policies to help you pick up your dream car.
10th February 2017
Automobile industry relieved, focus on implementation of GST
At the union budget, Finance Minister Arun Jaitley did not introduce any surprises for the automobile industry. According to the budget proposals, vehicle prices are unlikely to see any revisions in prices. The reduction in tax burden of individuals with income of Rs.2.5 lakh to Rs.5 lakh is being looked at as a positive move for prospective two-wheeler, small car, and tractor buyers. A big hike in infrastructure spend might see a spur in the commercial vehicle segment, which has been in a volatile state off late. Demonetisation has led to a sharp fall in sales of two-wheelers in the third quarter. With the GST expected to be implemented soon, the Finance Minister has not changed the excise duty structure.
9th February 2017
Maruti Suzuki reports a 26% growth at 1.34 lakh units
Sales of Maruti Suzuki India (MSIL) has gone up 26% in January with its domestic year-on-year sales rising to 1.34 lakh units from 1.06 lakh units in January in the previous year. According to Maruti, the volume-wise sales were accelerated by its compact segment model such as the Baleno, Swift, Celerio, and Ignis. This segment sold around 55,817 units in January this year, when compared to 44,575 units at the same time, last year. Meanwhile, the mini segment comprising of the WagonR and Alto recorded sales of 37,928 in January, growing 11% year-on-year from 34,206 units last year. The utility segment car models such as the Vitara Brezza, S-Cross, and Ertiga more than doubled its sales from 8,114 units last year to 16,313 this year. The mid-size sedan also showed a growth of 20%, while ‘Super Carry’, its light commercial vehicle, launched last year sold 166 units. With increasing number of sales, insurance companies have come up with great car insurance deals for these models.
7th February 2017
Tata Motors aiming for a premium push in sales with Nexa-like dealerships
Tata Motors is looking at increasing their popularity among the masses by unveiling a premium line of dealerships like the Nexa dealerships which has been made popular by arch-rivals Maruti Suzuki. Tata Motors, who has manufactured and produced vehicles like the Tiago, Indica, and Nano, is now working on new models in the premium hatchback, sports utility vehicle, and executive sedan departments. Currently, the company sells all its vehicles from the same outlet. The price range of Tata Motors’ entry products and top-end products is quite wide when compared to Maruti Suzuki’s products. Maruti sells the Alto at Rs.2.5 lakh while the Hexa is sold at Rs.3.59 lakh and is sold exclusively at the Nexa chain of outlets. Mayank Pareek, Tata Motors Passenger Vehicle Business Unit President, has stated that the company is working on opening Nexa-like outlets when asked about it at the launch of Hexa.
7th February 2017
Honda City 2017 Facelift model spotted at dealership yard in India
After being seen at a recent TVC shoot, the upcoming Honda City facelift was spotted yet again in India at a dealership yard. The model spotted was the ZX variant of the Honda City, which is the top-of-the-line variant. The identification was confirmed as it was seen with all the necessary badging. Owing to its frequent sighting, the model is expected to be launched in the first half of 2017. Honda has made some extensive changes on the car’s exterior with its front receiving the most number of updates. The bonnet has also been redesigned and given two muscular subtle lines. Sportier alloy wheels, restyled LED taillamps connected to a chrome strip, and wide, sleek grille and reflectors on both sides, are some of the updates on the side profile.
The Facelift model seems like an automatic variant, from its images. Considering the launch of the new-generation Hyundai Verna and Volkswagen Vento, later this year, it will be a good move if Honda introduces the City facelift as soon as possible. Car enthusiasts planning to buy the new City should start comparing car insurances online to bag the best deal when it is released.
6th February 2017
Latest Verna to be launched by Hyundai in April, 2017
After the international launch of the new Hyundai Verna in September, last year and in China after a month, it is all set to be launched in India in April, this year. The latest Verna model is expected to receive a lot of changes in terms of features and exterior design. The premium look of the new Verna has taken inspiration from the new Elantra. Apart from being longer and sportier, the new Hyundai Verna has also been given a new dashboard, improved seats, a start/stop button, a seven-inch touchscreen infotainment system. The Verna 2017 revealed in China has two engine options – a 100bhp pumping 1.4litre 4-cylinder engine and a 123bhp producing 1.6-litre 4-cylinder engine. Options for transmissions is between a six-speed manual and automatic unit. The model to be launched in India may have the same options – 1.4-litre petrol, 1.4-litre U2 CRDi diesel, 1.6-litre petrol, and 1.6-litre CRDi diesel.The Hyundai Verna model released in China carries a price tag of Rs.7.20 lakh for the base variant and a price tag of Rs.10.45 lakh for the top variant. Buyers planning to own the latest Hyundai Verna can look for the best car insurance online for the same.
3rd February 2017
Honda WR-V expected to be launched in March, 2017
At the 2016 Sao Paulo International Motor Show in Brazil, Honda revealed the Jazz based Honda WR-V. Honda has started production of the WR-V in India at its plant in Tapukara in Rajasthan. Although based on the Jazz’s platform, it will be different in design and in terms of equipment. The ‘Winsome Runabout Vehicle’ or the WR-V will be quite smaller than the BR-V, thanks to its sub-4 metre compact crossover. The Honda WR-V is expected to carry a price tag of anywhere between Rs.9 lakh and Rs.15 lakh, ex-showroom price in Delhi. The expected launch in India is by February end or March of 2017. The model is all set to give some serious competition to cars such as Maruti Suzuki’s Vitara Brezza and Ford Ecosport. With the introduction of this model, the car maker will make an entry into the compact crossover/SUV space in India. Buyers planning to own this winsome model from Honda have to start looking for good deals including a suitable car insurance policy.
2nd February 2017
Tata Motors to Restructure its White-Collar Workforce
Tata Motors one of the leading automobile manufacturers in the country is expected to cut down its white-collar workforce to five layers from the current fourteen. If executed, this will become one of the biggest organizational revamp in the history of Tata Motors. The new organization structure plans to eliminate middle management and multiple reporting. However, for the passenger vehicle division, the product group will have a system of dual reporting. Tata Motors has roped in consultancy firms Accenture and Roland Berger to build market strategies as the company kept losing its share in Indian automobile market.
1st February 2017
Two SUVs to be launched by Tata Motors in the next 36 months
Tata Motors is set to unveiled two SUVs in the next 36 months following the recent launch of the Tata Hexa. The compact SUV Nexon was revealed at the 2016 India Auto Expo in February. This model will be an entry level SUV and will be launched next year. Under its hood will be a 1.5L diesel engine. It is expected be priced at around Rs.7 lakhs.
The second SUV is a luxury one that is in the being shaped at design studios in Italy, India and the UK. It will most likely be based on the Land Rover Discovery Sport L550 platform. Under its hood is a 2L diesel engine. The price of this top-of-the-line SUV is expected to start at Rs.20 lakhs.
The SUV market in India is currently being dominated by Mahindra & Mahindra and Tata Motors plans on taking a bigger slice of the pie. Currently Tata has two SUVs in the market, the Hexa and the Tata Safari Storme. The two upcoming launches will give Tata Motors are larger share of the Indian market.
31st January 2017
Updated Honda City is expected to be launched in Feb 2017
The popular Honda model, the City is all set to receive an update. Although it may just be a facelift, it is crucial for Honda as it is one of the best selling cars in the C-segment. As the Ciaz outsold the Honda City by 5,000 odd units in 2016, Honda intends to launch the updated City before the launch of the Ciaz facelift. Honda dealerships in Delhi have already started accepting bookings for the facelifted model as buyers have already showed interest. 2016 did not see much in the C-segment except the Skoda Rapid that went a major cosmetic revamp. However, this year the C-segment is all set to compete with the latest Hyundai Verna, which is expected to arrive in the market soon. With all the updated models expected to be launched this year, buyers need to prepare themselves and look for the best car insurance beforehand.
30th January 2017
Two-tier motor cover proposed by insurance agencies
A proposal was submitted by the non-life insurance industry to the government to establish a two-tier third-party liability cover for automobile owners instead of people taking up only a single car insurance policy on their vehicle. This system would ensure that the premium on the mandatory cover is kept under check and would also take accountability to ensure that people are covered under non-life policies. This scheme follows the move made by the government on amending the Motor Vehicles Act. Besides coming down hard on people committing various offences, the current amendment passed by the government also includes numerous measures to take care of victims of road mishaps. R. Chandrasekhar, secretary general of the General Insurance Council, stated that the new two-tier approach has been implemented by looking at the positive impact this kind of policy has had in Japan.
27th January 2017
Nissan launches the new Nissan Sunny across all dealerships in India
Nissan launched the updated model of Nissan Sunny in India which starts from Rs.7.91 lakhs. This is the first launch programme announced by Nissan in India this year and the car is now available in dealerships across the country. The new sunny has fuel-efficient engines and more spacious interiors that adds to passenger comfort. The model is available in both petrol and diesel variants powered by 1,498cc engine and 1,461cc engine respectively. It also features enhanced safety options such as anti-lock braking, brake assist, electronic brakeforce distribution, etc.
25th January 2017
Road Ministry will also have to be consulted for decisions on premium rates
According to a new inclusion proposed under the Motor Vehicles Act, the Transport Ministry will be another regulatory body other than IRDA to be consulted for finalizing the annual insurance premium rates. At present, the motor insurance premiums are taken care by IRDA which revises it every year based on certain factors like vehicle type, number of claims received for that particular type, engine capacity, etc. General insurance companies are against this proposed move and they want IRDA to be the only regulatory authority to decide on upward and downward revisions of premium rates. However, general public is of the view that with road ministry becoming a part of the process, chances are more that premium rates will go down.
24th January 2017
Renault records 13.3% increase in group sales
Renault, the French auto manufacturer, has recorded a 13.3% increase in group sales against the 4.6% in market sales in the year 2016. Renault benefitted majorly in the buoyant European market seeing an 11.8% increase in registrations when compared to a market share of 10.6%. This margin was not the same outside the European market, seeing a 15.3% increase against the 5.2% growth compared to the market share. Thierry Koskas, member of the Executive Committee and Group Executive VP of Sales and Marketing said that Renault had sold 3.18 million vehicles all over the world.
23rd January 2017
Sony India Launches New Audio System for Cars
A new audio system which can be used in cars has now been launched by Sony India which enables drivers to play music, communicate, and navigate using their smart phones. The new audio system comes with voice control and a touch panel. The XAV-AX100 is moderately priced at Rs.26,990. The audio system employs Sony’s “Extra Bass” feature and high-power sound to transform any vehicle that the system is retrofitted in into an intricate sound system. The system is compatible with CarPlay and Android Auto which will help commuters to enjoy their ride to their destinations keeping safety as a priority. XAV-AX100 is Bluetooth compatible and comes with a rear camera input to make parking easier.
20th January 2017
Automakers are in a fix: Tax benefit or safety
Automotive manufacturers are divided over the recent policy that was passed by the government that encourages the manufacture and sale of smaller cars (4 metre or less) by imposing lower taxes on these vehicles. With manufactures arguing that the new restrictions would lead to a compromise on safety, there are other manufacturers stating that safety regulations can be met even after keeping the length of a car to a 4 metre restriction. Passenger vehicles which meet the 4 metre cap and which come with a 1.5 litre engine or smaller will have a 12.5% excise duty tax levied on it whereas vehicles measuring more than the 4 metre cap will attract a tax ranging between 21% and 30%. The main aim of this move, to impose different taxes on vehicles, is to reduce to amount of fuel being consumed in a city by larger vehicles and reduce the amount of space that’s taken up in parking these long vehicles. Car insurance agencies are now coming up with new products to insure these models.
19th January 2017
Motor Vehicle Bill to Create a Rise in Motor Insurance Sales
The new motor vehicle insurance bill of 2016 will see an expected boost in sales of motor insurance due to the new motor vehicle bill of 2016 which proposes to impose heavy fines on people who violate traffic rules. K. Sanath, Chairman of the National Insurance Co., has said that people are violating the most basic rule which states that vehicles, especially two-wheelers, should be covered under risk cover, and this requirement is mandatory by law. Currently, it’s mainly car owners who are opting to pick up car insurance. He also said that vehicle owners might be prompted into insuring their vehicles. The motor bill is said to raise compensation of up to Rs.10 lakh to be given in the event of a road accident fatality and up to Rs.2 lakh in the case of a hit-and-run case. The bill was cleared by the union cabinet in August last year and will soon be presented during the Budget Session in the Parliament.
18th January 2017
Kite 5 to Fly into Indian Markets Soon
With final rounds of testing to be completed, Tata are getting ready to start mass producing the Tiago-based sedan, Kite 5. While the exact launch date of the Kite 5 has not been revealed, rumour has it that the sedan is set to follow the launch of Tata’s Hexa in 2017. The compact sedan comes with a 1.2 litre three-cylinder petrol engine which is equipped with a 1.05 litre three-cylinder diesel motor. The petrol engine produces a torque of 114 Nm at 3,500 rpm and develops 83.8 BHP of power at 6,000 rpm while the diesel engine churns out 69 BHP of power and a torque of 140 Nm. The Kite 5 is said to come with multi-drive modes. The Kite 5 is speculated to be called Altigo or Viago in its final form. Though the price tag has not been decided yet, market rumours have been speculating that the Kite 5 will be priced at Rs.4.5 lakh (ex-showroom).
17th January 2017
Tata Motors To Open Innovation Centres Across The World
With the aim of being among the top three auto manufacturers in India by the year 2019, Tata Motors plans on setting up innovation centres all over the world to help meet this goal. Silicon Valley is the home of the first innovation centre. Seamless solutions to customers and the need to be future ready is the goal of Tata Motors according to Guenter Butschek, Chief Executive Officer and Managing Director of Tata Motors. The main reason for setting up innovation centres is to build up a presence and create a market for Tata’s products, to hunt for new technologies, and to build key relationships with players which include start-ups located in the vicinity. With a strong presence in Europe and India, Tata Motors plans on launching two new products every year for the next 3 years. The company sold 1,14,721 units within the April-November period which is an increase of 12.04% when compared to the same period of the previous year.
16th January 2017
Future General India Life Insurance to offer group credit life insurance
Future General India Life Insurance announced that it will be collaborating with Vastu Housing Finance Corporation to provide a group credit life insurance called ‘Loan Suraksha Plan’. It is a plan that’s designed to cater to financial institutions to issue life coverage to new and existing borrowers. This will be a single premium plan which is said extend protection to the borrower to the amount of the home loan. The borrower will also have the option of extending his insurance coverage in case of additional loans and top-ups. Munish Sharda, Managing Director and Chief Officer of Future General India Life said that the company is looking forward in seeing their association with Vastu Housing Finance bloom and to offer their services through this new scheme.
12th January 2017
Future General India Life Insurance to offer group credit life insurance
Future General India Life Insurance announced that it will be collaborating with Vastu Housing Finance Corporation to provide a group credit life insurance called ‘Loan Suraksha Plan’. It is a plan that’s designed to cater to financial institutions to issue life coverage to new and existing borrowers. This will be a single premium plan which is said extend protection to the borrower to the amount of the home loan. The borrower will also have the option of extending his insurance coverage in case of additional loans and top-ups. Munish Sharda, Managing Director and Chief Officer of Future General India Life said that the company is looking forward in seeing their association with Vastu Housing Finance bloom and to offer their services through this new scheme.
12th January 2017
Volkswagen India sales surge by 69% in December; Pune production plant records highest production
While businesses across the country seem to be reeling following the demonetisation of high-value currencies, Volkswagen India looks to be striding while its competitors have been stumbling. Just in December, Volkswagen sold 4,348 units against 2,577 units in the same month last year - a tremendous 69% increase in sales. Michael Mayer, Director Volkswagen Passenger Cars India, credited the introduction of the Made-for-India Ameo and the GTI variants Polo and Vento for their boost in sales. To add to their glory, the Pune production plant recorded its highest production in a year. The production plant rolled out 1,451,45 units, a 12% increase from last year.
11th January 2017
More than 1 Lakh Hyundai Grand i10 Sold During 2016-2017, Facelift Version Will be Launched This Year
Hyundai Grand i10 is performing really good in terms of sales in India. It is one of the best selling Hyundai cars in India. Hyundai stated that they have sold over 1 lakh Grand i10 cars in the financial year 2016-2017. During April to November 2016, they also exported around 33,500 units of Grand i10. Hyundai is now planning to launch Grand i10 facelift version in February, 2017. This version of Hyundai Grand i10 will come with cascading grille, revamped front bumper, and LED daytime running lights. Many banks are lined up to offer car loans and car insurance for the new Hyundai Grand i10.
10th January 2017
New Volkswagen Vento All Set For India Launch in 2018-19
The German automaker, Volkswagen is preparing to launch the all-new Vento which will be based on Volkswagen’s Modular Transverse Matrix (MQB A0) platform. The launch is expected to take place in 2018-2019. The new Vento which was caught being tested in Brazil is rumored to have shed nearly 70 kg of its former weight and will feature sleek LED headlamps with daytime running lamps, along with alloy wheels. Other new features include increased interior cabin space, new LED tail lamps, freshly designed C-pillar and a new boot gate. The sedan is likely to be available in 3 variants which are a 1.4 litre MPI petrol, a 1.2 litre TSI petrol and a 1.5 litre TDI diesel engine. Buyers will have a choice between a 6-speed manual gearbox and a 7-speed DSG automatic gearbox.
9th January 2017
Automobile Manufacturers Likely To Benefit From New Vehicle Launches in 2017
The new year has just begun but it will also bring with it, a number of automobile related issues which manufacturers must deal with. Revised emission norms, regulatory changes, and the demonetization drive launched by the government in Nov 2016 are just some of the issues that manufacturers must deal with in the coming months of 2017. Similar to last year, automakers are hopeful that once again, new launches will help save the day or year for them.
In 2016, the automotive industry has had to deal with a number of major hurdles. The ban on diesel vehicles and SUVs with an engine capacity exceeding 2,000 cc in the region of the national capital, the demonetization drive which commenced from November 2016 due to which deliveries of vehicle shipments plummeted following the cash crunch. The impact of demonetization is likely to last for much longer, experts predict.
Mr. Abdul Majeed from PricewaterhouseCoopers mentioned that the ambiguity concerning the implementation of the Goods and Services Tax is only going to add to the already bleak situation for automobile manufacturers in 2017. There could be plenty of knee-jerk reactions to the changes in the policy. Many other analysts are unanimous about the opinion that the first 3 months of the year are going to be quite a challenge especially for small cars, luxury cars and commuter two-wheeler segments, even if the latter half of the year may look up.
From April 1 onwards, Bharat Stage-IV emission norms will come into effect for commercial vehicles which may lead to a rise in pre-purchases of vehicles. However, given that the government has issued an advance announcement for the change, the spike in sales before April 1 may not entirely be likely. Other mandatory features such as anti-locking braking systems and dual front airbags for passenger vehicles are likely to be introduced from Oct 1 and may add another Rs 20,000 to vehicle prices.
Given that economic condition continue to be delicate in major importing regions such as South America, Africa, Middle East and developing parts of South Asia, cross-border shipments are not likely to improve in 2017 either.
6th January 2017
Maruti Suzuki Set To Launch New Generation Dzire by March, 2017
Maruti is going to launch a new generation Dzire by March, 2017. The production of Dzire Tour will stop to make way for the new generation Dzire. Currently, 3,000 units of Dzire Tour are being sold every month. Maruti is planning to introduce a striped down version of the new Dzire for the fleet segment. Maruti Suzuki also has the Ignis, Baleno RS, and an all new Swift to be launched in 2017. Suzuki owns 56% of MSI. It will supply 10,000 units of Baleno exclusively to MSI from the Gujarat plant. MSI has 2 units at Gurgaon, and Manesar with a total production capacity of 1.5 million units per year.
6th January 2017
Ford EcoSport Facelift To Be Launch In January, 2017
The American automobile manufacturing company, Ford is all geared up to launch the all new 2017 Ford EcoSport Facelift in the beginning of next year. The new EcoSport has distinctive exterior design and come with one-piece hexagonal grille in place of the previous split grille. They have also redesigned the headlights, fog lamps, and the front bumper. Gaadiwaadi reported that the launch of this car is expected by the third week of January. Ford has a massive manufacturing unit in Chennai. It is from this unit Ford cars are exported to other countries and distributed in india. Manufacturing work for the new EcoSport will start soon and so will the launch.
2nd January 2017
Honda Jazz Rumored To Get An All-electric Powertrain
With hybrid and electric vehicles becoming increasingly popular worldwide, Japanese automobile giant, Honda, is likely to integrate the environment friendly trend in it’s business. According to reports, Honda is likely to soon roll out an electric powertrain for the Jazz, one of the popular hatchback’s from the manufacturer. The eco-friendly powertrain is likely to be part of the vehicle by the year 2020. Provided that the Jazz is also one of the highly popular hatchback’s in India, it could be one of the first model sold in India to include this eco-friendly feature.
30th December 2016
Tata Motors Launches 2017 Range of Jaguar’s Range Rover Evoque, Priced At Rs. 49.10 Lakh Upwards
Jaguar Land Rover, owned by Tata Motors, has recently unveiled the all new 2017 range of its most popular SUV, the Range Rover Evoque. The most prominent change featured in the new 2017 Range Rover Evoque is the Ingenium Diesel engine, making this particular model the very first Land Rover SUV in India to be fitted with JLR's new engine motor. The recently launched Jaguar F-Pace is the only other car to feature engines from the Ingenium line.
Design details on the new Range Rover Evoque won't be too different from the previous variants and will continue to feature a bold exterior aesthetics while the interiors are plush and comfortable. Muscular shoulders, striking lines and a tapered roof feature on the outside, along with adaptive full-LED headlights and LED daytime lights.
The cabin of the Range Rover features strong lines, fine detailing and contemporary finishing which lends a luxurious yet comfortable look and feel. Speaking about the finer details, the interiors have been crafted using the finest of materials such as Oxford leather with twin-needle stitching and well-padded door inserts. Also included is an InControl Touch Pro infotainment system which enhances in-car connectivity and a 8 or 10 inch display, depending on the model. Prices for the new range of the Evoque start from Rs 49.10 lakh and go up to Rs 67.90 lakh for the top end variant (ex-showroom, Delhi).
28th December 2016
March 2017 to Bring Lexus Cars to India
The Lexus brand is all set to debut its cars on the Indian roads come March 2017. A Lexus RX450 has already been sighted on the Mumbai streets. Around 50 to 60 cars have arrived in India to be used for test drives in order to entice potential buyers.
Lexus will be launching two hybrid models in March - the ES300h and the RX450. Along with the debutants, Lexus will also be launching Lexus dealerships at the same time. 4 showrooms are set to grace the cities of Mumbai, Bengaluru, and Delhi, with Delhi getting 2 and Mumbai and Bengaluru getting 1 each.
Lexus will be sharing dealership partners with Toyota in India. The dealerships themselves will be separate, although the service network will be the same. But there will be separate servicing bays for the Lexus cars.
By the time the year 2017 ends, we'll also see the LX 570 petrol, the NX, and the LX450 diesel being launched in India. The LS600h will arrive by January 2018.
The soon to be launched ES 300h will be valued at Rs 60 lakh and the RX450h will cost above 90 lakh (both ex-showroom prices). Lexus cars will invite import duties as they will be imported directly to India.
27th December 2016
Government Might Ask Automakers To Buy Back Old Vehicles And Recycle Them
In an attempt to reduce air pollution and worst smog in india, The Government of India might ask all the automakers and their agents to buy all old, pollution-causing vehicles and recycle them. Currently, India does not have a recycling policy for worn out vehicles apart from one unorganised vehicle scrapping company in Mayapuri in New Delhi. The new rule may be implemented once the Environment Ministry gives permission. This will make sure that the manufacture should take back the vehicles which are declared unworthy on roads and recycle them.If the new rule is implemented, ample time will be given to automakers to set up recycling centres across the country. According to Central Pollution Control Board (CPCB), India had about 8 million end-of-life vehicles in the year 2015 and the number might go up to 21 million by 2025.
26th December 2016
Apple Works on Developing Self-Driving Cars
Apple has invested heavily in machine learning and autonomous systems. In November, Steve Kenner, Apple's Director of Product Integrity, wrote to the National Highway Traffic Safety Administration that the company is excited about the potential of automated systems in transportation. He urged the regulator not to restrict testing of such vehicles. He wrote that under the NHTSA's guidance, automated vehicles have the potential to greatly enhance the human experience by preventing car crashes, and fatalities each year, and giving mobility to the disabled people.
23rd December 2016
Filter Distractions and Drive Smart with the Exploride Heads-On Display
A startup firm based in Kochi came up with the idea of combining entertainment system and GPS, thereby providing a medium for filtering distractions and enhancing connectivity while on drive. The Heads-Up Display (HUD) product of Exploride comes with offline mapping features that connects to your vehicle and smartphone at the same time. Another striking feature of Exploride HUD is the dashboard camera that allows the driver to record videos on the go. It also has a voice control that integrates Siri and Google Now. The product has an internal storage capacity of 16GB plus a cloud storage space of 5GB.
22nd December 2016
Government Offers Discount On Online Insurance
Recently, the Finance Minister announced that online discounts will be provided on new insurance and not on renewals. The Government of India offers 10% discounts on motor and health insurance only if the customer switches insurance companies and if the insurance is brought from state-owned insurance companies. Life Insurance Corporation, a leading government insurance firm offers this discount only on online term policies. Meanwhile, all the leading public sector insurance companies, namely National Insurance, Oriental Insurance, New India Assurance, and United India Insurance have filed for changes to be made on discounted online policies. Chairman of National Insurance, Sanath Kumar stated that any new customer who comes into the insurance company is treated as a new customer as most of the policy ends in one year and if the customer chooses to switch companies post that, it will be treated as a new policy.
21st December 2016
Customers Can Expect RS Models In India If Maruti Suzuki Baleno RS Succeeds
One of the leading automobile manufacturing company in India, Maruti Suzuki is launching its first Boosterjet Engine model Baleno RS by February, 2017. The carmaker stated that they are thinking of using Booster Engine to other car models offered by Maruti Suzuki like Swift Dzire and the all new Swift of the market receives Baleno RS positively. The new Baleno Rs will have a 1.0 litre Boosterjet Engine. It will also have attractive interiors and exteriors such as Bi-xenon automatic headlamps with LED DRLs, side skirts, electrically adjustable wing mirrors, and new diamond cut alloy wheels. It will also come with excellent front and rear bumpers.
20th December 2016
COMPAT Reduced Penalties Against 4 Insurance Companies and 3 Auto Companies
Reportedly, the CCI had imposed a penalty of Rs.12,918 crores in 327 cases over the last 3 years till 30th November. On 9th December, Competition Appellate Tribunal (COMPAT), reduced the penalty on 4 insurance companies and 3 auto companies, reconsidered a case against DLF, and set aside an order against Lupin. National Insurance, New India Assurance, Oriental Insurance and United India Insurance were found guilty of cartelisation and manipulating a bidding process by the Kerala government for selecting insurance service provider for RSBY. COMPAT reduced the Rs.671 crores penalty to just Rs.2 crores.
CCI had fined 14 car manufacturers for anti-competitive agreements and abusing a dominant position in the spare parts market. Following an appeal against the 2014 order, COMPAT reduced the penalties against Toyota, Nissan, and Ford. The tribunal has asked CCI to reconsider an ‘abuse of dominance’ case against DLF, filed by Ess Cee Securities and Signature Securities with regard to the company’s Capital Greens Phase-III project in Delhi.
19th December 2016
ICICI Lombard Motor Insurance Segment Registers 30% Growth
India’s most prominent private sector non-life insurance provider, ICICI Lombard recently announced a growth of 30% under its motor insurance segment. The growth which was recorded during the first half of the financial year, has been achieved by the company after a gap of nearly 8 years.
1st December 2016
Bulletproof Passenger Cars to Be Introduced in India
Essar Steel India Ltd. (ESIL) stated that they are planning to use bulletproof steel in cars, and are in talks with vehicle designers for the same. The latest product from the company, bulletproof steel, absorbs the force of a bullet that travels at a speed of 700m/sec, without creating a dent on the vehicle’s surface. The steel is extremely durable, with hardness levels greater than 500 BHN.
These vehicles will be the first of their kind in the Indian market, and the increase in focus on personal security will result in greater demand for such cars.
28th November 2016
Bajaj Allianz Launches DriveSmart Service
Bajaj Allianz General Insurance has recently launched a service called as ‘DriveSmart’. With the help of this service, customers can buy car insurance plans. This service will also give information regarding the driving habits. The premium charges for each customer will be decided based on the data given by Telematics. According to Sourabh Chatterjee from Bajaj Allianz, the DriveSmart service is much superior when compared to other covers as it provides lot of additional benefits as well. It will monitor the driver and give data regarding vehicle diagnostics, navigation, statistics etc. Based on the feedback, the customers can reduce the rates by working on their driving styles. Ever since its launch in September, the service has become quite popular.
25th November 2016
Premium Collection of General Insurers up By 32%
According to data released by the General Insurance Council of India, it has come out clear that insurance premium collection has risen by a whoppin 32%.
This data, which analyses the business for the first 7 months of FY17, has reported that about Rs.76,607.92 crores have been collected by both public and private limited companies.
However, the data went on to suggest that private players had a way bigger hand in the money collected as compared to public companies.
Private firms like Bajaj Allianz, Reliance General, TATA AIG General Insurance, and ICICI Lombard among others racked in a growth of 32.5% to collect Rs.29,851.31 crores. On the other hand, public sector firms like National Insurance, United India Insurance Company, and New India Assurance among others saw a growth of 27% and collected Rs.34,754 crores as compared to the same period last year.
Experts in the industry cited the rising popularity of two-wheeler insurance as the main reason behind this massive growth
25th November 2016
Volvo to Launch 5 New Models in India
Volvo is set to launch 5 new models in the near future in India. The company announced it will be introducing a new line of SUV’s and sedans in the Indian market following the success of its flagship S90 sedan.
Among the cars to be launched is the XC90 R-Design, an SUV from the Volvo fleet. The car comes with an edgier look and 20-inch alloy wheels, among others.
Volvo is also introducing the V40 and V40 Cross Country sedans, which are their most affordable cars. The two recently received an overhaul and now come equipped with design updates and daytime running LEDs.
The S60 Polestar is another new entrant. While the S60 sedan is already on the market, the Polestar comes with a more powerful engine, packing in 467 Nm of torque with 367PS of raw power.
The V90 Cross Country, launching mid-2017 is another SUV, combining speed with utility and comfort.
While Volvo does not provide in-brand car insurance policies for its fleet, customers can pick from a range of providers to ensure their car receives the maximum insurance protection.
21st November 2016
Maruti Suzuki India to Launch More Mild-Hybrid Cars
Maruti Suzuki is planning to launch more mild-hybrid cars in India. Introduction of hybrid technology for small cars will help the company to strengthen its market position further. According to RC Bhargava (Chairman), this is really a sensible move for India as it has not been done globally yet. The company is planning to launch Baleno SHVS next year as a mild-hybrid car. Soon, they will move on to other models as well. The good news is that getting hybrid technology is not expensive. It is cost effective and it has also helped the company to get subsidy benefits. The company is planning to introduce around 16 lakh units in the market for this fiscal.
16th November 2016
Zoomcar Installs ADAS to its Cars
In an effort to decrease the number of road accidents due to driver’s negligence, Zoomcar has decided to install advanced driver assistance systems (ADAS) to its cars. The system has already been integrated in 40 vehicles in New Delhi. Now, the company is planning to branch it out to other cities as well. According to Greg Moran (CEO of Zoomcar), this new innovative technology will contribute a lot in reducing the number of accidents by giving real time assistance to the drivers. The system will provide different kind of warnings such as collision, lane departure etc in the form of audible alerts. ICICI Lombard will also pay a huge role as an insurance partner for this plan. Apart from this, Zoomcar has also launched some new technology enhancements such as speeding alert system, bluetooth based hardware etc to monitor the functioning of its vehicles.
10th November 2016
4 Level GST Rate will Not Bring Down Costs Of Luxury Cars and SUVs
The implementation of the new GST regime is not going to turn luxury cars and SUVs any cheaper. The current rate of central and state taxes are 54% for larger vehicles. The new GST tax slabs will alter this value to stand at 28%. However, there will be an additional cess imposed to compensate for the difference in rates.
Experts are of the opinion that smaller cars, electric cars, and hybrid vehicles will be taxed differently from the sedans. This is done to promote the use of these vehicles, and is an attempt to relieve the population of pollution and congestion on the roads. Currently, the excise duty that a small car (less than 4 metres long) attracts is 12.5%. The next segment of cars (length of 4 metres) is charged 24% excise tax. When the length of the car is more than 4 metres and engine capacity is 1200 cc (petrol) or 1500 cc (diesel), the excise duty is 27%. The highest excise tax of 30% is charged on MUVs and SUVs that are characterised by lengths of over 4 metres and engine capacities of 1200 cc (petrol) or 1500 cc (diesel).
In addition to the excise tax, vehicles also attract VAT and road tax at a state level. These are also higher for sedans and luxury cars.
9th November 2016
India Not the Best Place for Self-Driving Cars, Says Chairman of Maruti Suzuki
While the automotive sector maintains its stance on self-driving vehicles, RC Bhargava, the Chairman of Maruti Suzuki, says that autonomous vehicles like these will not be well accepted in India. The main reason for self-driving cars not working in India, as cited by Mr Bhargava, is that driving rules are not obeyed by most people. Although he would not mind people’s efforts in putting the technology to use given the driving conditions in India, his views on self-driving cars in the country remain bleak. He added that “no technology will work when nobody obeys the driving rules.
8th November 2016
Toyota Kirloskar Motors Join Hands with Uber
In an effort to increase sales, TKM(Toyota Kirloskar Motors) has joined hands with Uber. As per this new partnership, TKM will provide buying solutions to first time drivers in Uber. Not only this, the drivers will also be provided with 90% on-road funding on Etios Sedan and Etios Liva Hatchback. However, this scheme will be valid only till 31st December, 2016. According to N.Raja from TKM, this partnership will surely help in giving a boost to the ride-sharing market in India. It will help fulfilling the mobility needs of an Indian in a more efficient way.
25th October 2016
11,999 Cars Exported from India by Nissan Motor
A recent report reveals that around 11,999 cars have been exported from Chennai in India by Nissan Motor. The total number of cars exported have risen by 20% when compared to last year. This has made the company’s Indian subsidiary an export hub. Nissan Motor has more long-term plans for its growth. They also have plans to start exporting cars such as Datsun redi-GO to Nepal, Sri Lanka and South Africa.
20th October 2016
Mahindra unveils Centuro Mirzya special edition
Indian motorcycle manufacturer Mahindra has officially unveiled the Centuro Mirzya special edition bike called the ‘Centuro Mirzya’. This move has been decided upon in a bid to beef up the promotions of Rakeysh Omprakash Mehra’s epic film Mirzya, which is set for release during the Diwali season.
To distinguish the design elements of the bike, Mahindra Two Wheelers Ltd (MTWL) has gone with special graphics as compared to the standard motorcycle design. A Mirzya branding can also be found on headlight and the tail sections too.
Speaking at the occasion, Chief Executive Officer, Mahindra Two Wheelers Ltd. Vinod Sahay said that the company was delighted to announcing an exclusive partnership with the bollywood veteran Rakeysh Omprakash Mehra’s film.
Mr. Sahay further exclaimed his optimism about the movie and the bike becoming a rage during the upcoming Diwali season.
Besides the upgrades on the design front, no mechanical change has been seen. Also, the company still is mum on the pricing of this special edition vehicle.
The bike produces the same 8.5 PS/Nm of power and torque and is equipped with the standard alloy wheels, LED tail lamps, and flip keys.
18th October 2016
In Delhi, Govt Devising Scheme to Prevent Uninsured Vehicles From Plying
The Delhi government and the police force are working on a scheme to prevent vehicles that do not have car insurance from plying on roads.
The scheme is the result of a ruling by the Centre-appointed Motor Accident Claims Tribunal which stated that merely punishing offenders for such a violation is not enough of a deterrent. This is especially true in cases where the uninsured vehicles cause accidents, as the victims would not be eligible for any sort of compensation.
In cases where the tribunal rules in favour of an accident victim, recovering the amount from the offender becomes difficult as there is no insurance.
In light of such difficulties and the increase of such cases and fatalities arising due to negligent driving, the Tribunal has directed the government to find a solution.
In cases where the insurance has not been renewed, insurance companies should maintain a database to reflect timely renewal of car insurance. In cases where the insurance has not been renewed, punitive action such as issuing notices to defaulters can be adopted.
14th October 2016
8 New Nissan Models Set To Release by 2021
Nissan plans to release 8 new car models in India by 2021, according to a company source.
The move is aimed at increasing Nissan’s share in the Indian car market, which currently stands at just 2%.
The company will be releasing some cars from its existing stable as well as some new Datsun range cars that have been developed in India.
Nissan, who have generally worked alongside Renault to develop and release cars, will now be moving towards a more individual platform and structure, as opposed to sharing with Renault.
Nissan will be focussing on SUV (Sports Utility Vehicles) and crossover cars for India, with an emphasis on the car design and technology.
Nissan is also looking to gain a foothold before other Asian car manufacturers like KIA and Toyota also look to expand their base in India.
This would spell good news for car insurance companies and customers alike, as there would be a wider pool of vehicles and models to choose from.
12th October 2016
Skoda India Releases MySkoda Mobile Application
Skoda India has launched the MySkoda application which is expected to offer a single-window interface between the customers of Skoda and the company itself. Customers can download the application from the iTunes Store in case they use an Apple device, or the Google Play store in case they use a device powered by Android. The application offers several different benefits while aiming to enhance the transparency with Skoda in addition to offering the customer a trouble-free ownership experience.
In addition to the transparency, facilities such as the provision of billing record for each service, locating a dealer, booking service appointments and connecting to the customer care team of the company are also included in the application. The application is also expected to help customers is monitoring the service cycle of their vehicle, roadside assistance, insurance and vehicle warranty as all these details will be updated and can be referred to by the customer at will. All updates made via the application will be registered in the company’s database to make it relatively simple for customers to know exactly what kind of attention their car requires and when.
6th October 2016
Number of Wi-Fi Connected Vehicles To Rise Exponentially By 2020
With technological advancements taking place every single day, experts have predicted that by the year 2020, there will be nearly 61 million Wi-Fi connected vehicles being churned out by factories or present in the aftermarkets. The figure stood at 6.9 million in the year 2015 and is set to rise drastically in the coming few years. With the help of these services, drivers will be have access to more digital content like music, videos, navigation and location based services. However, the downside to this new wave of connectivity is the easy access of people’s personal info that will no be available to hackers.
5th October 2016
DriveSmart - Revolutionizing the Vehicle Insurance Landscape
Bajaj Allianz General Insurance recently launched an ultra-smart device that can impressively assess diverse aspects of your driving and help reduce the cost of your motor insurance. As the industry’s first ever telematics offering, the device is plugged into your vehicle’s OBD (on-board diagnostics) and records information on factors ranging from acceleration and over speeding to braking. The device provides vital information to the insurance provider through long distance information transmission and helps to determine insurance costs for individual drivers. It will factor in overall usage and the manner of usage (how carefully/rashly one uses his vehicle) to arrive at an appropriate cost towards renewal or purchase of a new motor policy. The smart policy - termed DriveSmart - reflects a paradigm shift in determining the cost of vehicle insurance that was traditionally determined by four main parameters including year of manufacture, location, model and vehicle price.
4th October 2016
Its Raining Festive Offers on Cars!
With the festive season round the corner, car manufacturers are looking to increase sale volumes. Keeping with the festive feel-good spirit, a host of car manufacturers are offering discounts on entire ranges of cars.
Nissan is offering up to Rs.80,000 on the Terrano and up to Rs.65,000 on its hatchback Micra.
Hyundai is offering discounts on a number of its models, with up to Rs.50,000 off on the i10 and up to Rs.91,000 off on the Grand i10. Among its sedans, the company is offering up to Rs.80,000 on the Verna and up to Rs.57,000 on the Xcent.
Maruti Suzuki’s Alto and Wagon R models have up to Rs.70,000 off the regular price, and the company is offering up to Rs.40,000 off its Swift and DZire models.
With the car buying bonanza sure to take place during the next month, car insurance should also be topmost on car buyers minds.
27th September 2016
Chevrolet India Launches Pre-Festive Discounts up to Rs. 1.12 lakh on Various Models
With the festive season fast approaching, General Motors, the leading American automaker, recently announced the launch of special offers via discounts and benefits of over Rs 1 lakh the its various models like the Beat, Tavera, Cruze, Enjoy and Sail. This special offers include benefits like exchange bonus, free insurance and benefits on limited stocks. Beside the offer, Chevrolet is also offering an assured 4 gm gold coin with the purchase of every new vehicle. Having already introduced special schemes on the occasion of Teacher’s Day, the following months of October and November fall under the festive season, a time when most manufacturers will be luring customers with offers in order to boost sales.
23rd September 2016
Government To Pick Out Vehicle Samples Randomly From Dealers For conformity Of Production Testing
In an effort to ensure strict implementation of BSIV emission norms, beginning April 2020, the government has taken to compulsory testing of 50% of vehicle model samples which will be picked at random from specific plants from the dealer warehouse or locations. This random sample testing is being done as a part of a process called conformity of production (COP). The notice further mentions that vehicles or engines featuring up to 7% biodiesel blends will be tested with reference diesel (B7), while those featuring biodiesel blends above 7% shall be tested with respective blends.
Following the release of this notice, automobile manufacturers are reportedly unhappy with these new norms.
22nd September 2016
Fiat Chrysler India To Organize Nationwide Car Service Camp
For the benefit of Fiat customers, Fiat Chrysler Automobiles (FCA) India will be organizing the second nationwide service camp. To be held between September 19th to 25th, the camp will run at all Fiat authorized dealerships across the country. As a part of the camp, FCA plans to offer special discounts on labour (for mechanical repairs) and spare parts, along with free top-wash and car checkups.
21st September 2016
Two Factor Authentication For E-Insurance Soon
IRDAI (Insurance Regulatory and Development Authority of India) is considering implementing two factor authentication for e-insurance policies. As part of this process, an OTP (One Time Password) will be sent to the policyholder’s registered phone number and this will be used to verify the request.
IRDAI will be making changes to existing rules governing e-insurance in line with this new directive.
The regulatory body has stated that this move will help prevent fraud and make online insurance policies more credible.
Currently insurers require one factor authentication for the sale of motor and life insurance policies online.
The new directive will mean more stringent verification through the OTP as well as digital and e-signatures to authenticate the policy.
20th September 2016
Maruti Re-aligns Its Focus To Premium Cars
Following the roaring success of its most recent models, the Baleno and Vitara Brezza Indian automobile giant, Maruti Suzuki India Limited (MSIL) is in the process of shifting its focus to introduce premium cars in the Indian market. Kenichi Ayukawa, CEO & MD, MSIL, said that the plans are underway to add more premium cars to the brand’s existing fleet. The Baleno and the Vitara Brezza+ are currently on the list of the top 10 cars which have captured market share in the months of July & August 2016.
16th September 2016
Rev Up for Automatic Cars This Festive Season
A slew of automatic cars are set for release soon, with the Renault Kwid AMT leading the pack. This car, which comes with an 800 cc engine, will be releasing in a 1.0 litre engine variant as well.
The Tata Tiago AMT is set to provide stiff competition to the Kwid, with both cars set to release in time for the upcoming festive season. The Tiago will be equipped with both petrol and diesel engines. The Revotorq engines will churn out torque of up to 140N.
The Maruti Suzuki Ignis is the latest in the company’s automatic fleet of cars. The car, a mini-crossover, will come with petrol and diesel variants and feature Maruti’s AGS technology.
Car buyers looking to capitalise on the new releases should definitely consider getting car insurance to ensure a happy and safe festive season.
12th September 2016
Maruti Suzuki Boosts Portfolio of Bigger Cars and SUVs
In an attempt to expand beyond small cars in its portfolio, Maruti Suzuki is planning to add more number of bigger cars and SUVs to its fleet. However, the country’s largest carmaker is worried with the success of Renault Kwid. Maruti has also started work on its latest version of best seller Alto. Customers can choose from various car insurance policies when they buy a car from Maruti Suzuki.
The MD & CEO of the company, Kenichi Ayukawa, said that the company has received a healthy response to Brezza city SUV and Ciaz Sedan. He also added that customers in India are expecting to upgrade to more premium vehicles. Talking about the recent policy flip-flops and sudden changes in regulations, the MD said the internal strategies will have to be changed and a lot of investment plans will be impacted.
1st September 2016
Hyundai to Launch Kia Cars in India
South Korean car manufacturer, Hyundai would be soon introducing Kia Motors into the Indian automobile industry. This will be done at a rung lower, owing to which the Hyundai cars would be offered as premium products. The ideal small car for the Indian market would be the Picanto, which can be categorised between the Grand i10 and the Eon. Under the hatchback category, the Rio would be the right choice for Hyundai. The Rio sedan would be the right selection in the smaller sedan segment for the car manufacturer competing with the likes of Maruti Swift Dzire, etc. No car line-up is complete without an SUV and Hyundai might bring in the Sportage with a 2.0-litre diesel engine into the market. An MPV named Carens might also be added to the list by Hyundai. Hyundai customers can get a comprehensive car insurance policy for their new cars while purchasing the vehicle from any insurer across the country.
26th August 2016
Maruti Suzuki Brezza Diesel Variant Showcased in Indonesia
The Maruti Suzuki Vitara Brezza diesel variant, known as the VItara Brezza AMT, is one of the most anticipated car releases this year.The car was recently showcased at the Indonesia Auto Show, which is currently underway.
The car is the first diesel-powered model for the Brezza range of cars and is expected to be launched shortly.
While the car will continue to have a 1.3 litre DDiS engine, the car could have some surprises up its sleeve, which would be revealed during its launch in India.
The car comes with projector headlamps, underbody plastic cladding as well as roof rails for added comfort and durability.
Upon its release, the car will be insured by all major car insurance providers.
22nd August 2016
Steeper Fines for Traffic Violations in Nagpur
The traffic police in Nagpur are to raise fines for traffic violations from August 17th, 2016 in an attempt to deal with the growing numbers of offenders.
As per the new fine rates, motorists without a helmet will incur a fine of Rs.500 instead of the earlier Rs.100.
For offences such as speeding, driving a car without proper car insurance or registration and racing, the fine will now be Rs.2,000.
The penalties had been revised upwards at a meeting on August 4th, 2016, and were to be implemented from August 17th, 2016.
Additional fines have been added for the use of decorative number plates and rash driving, with offenders to be fined Rs.1,000 for such violations.
Making illegal modifications to vehicles and driving a vehicle without taillights or headlights will result in a fine of Rs.1,000 for each offence.
19th August 2016
Insurance To Go Digital From October
The insurance industry will be embracing the digital revolution from October 1st, 2016. Electronic insurance policies will be issued to policyholders, with the policies stored in demat form after issue.
A number of insurance policies, such as motor insurance and travel insurance, will only be available in digital form after October.
In order to purchase or renew insurance, individuals will have to open e-Insurance Accounts (eIA).
Up to now, depositories to convert physical insurance policy documents to demat exist, but in future all policies will be issued in demat form.
E-insurance will be beneficial to policyholders as the process will be paperless and also reduce incidences of fraud as all documents will be digitally verified and tamper-proof.
The IRDAI has issued a grid for the issuance of policies in their electronic form, containing the sum assured as well as the annual premium payable.
18th August 2016
Police Constables to Get Power to Book Traffic Offenders
The number of traffic violations in the country has seen a sharp increase over the last few years, with lack of policing being a major reason for it. Traffic violators in the city of Nagpur, who might’ve previously escaped after such violations might be in for a rude awakening, thanks to a new proposal which could give constables the power to book them. The Home Department of the state has authorised constables to issue challans in cases of traffic violations, with helmetless riding being their primary concern. Earlier, only PSIs could issue such challans, but this directive is bound to give more teeth to the department, helping them reduce the number of violations in the city.
These powers have been introduced under the Motor Vehicles Act of 1988, which will help around 475 constables do a better task on the roads. With just 20 Police Sub-Inspectors in the city, booking offences took time, often leading to offenders escaping. This new move would help in better traffic management in Nagpur. Additionally, penalties for various offences have also been increased, aiming to hit offenders in their wallets. Helmetless riding in the city will attract a fine of Rs. 500, a fivefold increase in the old fine, while violations for speeding, rash-driving, etc. will attract fines ranging between Rs. 300 and Rs. 2,000.
10th August 2016
Introduction of New Motor Vehicles Act Could Hike Premium
We could soon be paying more to purchase or maintain the third-party insurance for our vehicles, thanks to proposed changes to the Motor Vehicles Act. Amendments to this act could see the premium go up by around 10-15%, primarily on account of an increase in the proposed compensation for victims of accidents. Amendments to the Act could see the compensation for death go up to Rs. 2 lakh for hit and run accidents, while serious injuries will attract a compensation of Rs. 50,000. Other instances could see compensations of Rs. 10 lakh, which are the reason for insurance companies to hike premiums.
A hike could be implemented once the Act is passed by both the Houses of the Parliament. Current laws stipulate that 3rd party insurance is mandatory. The new amendments will make it binding on insurance companies to pay the amount within 30 days of an accident, with it possible for aggrieved individuals to approach the tribunal for higher compensation claims. The proposed amendment has attracted objections from some sections of the society who feel that the government shouldn’t be setting a cap on the compensation offered.
9th August 2016
Fiat To Soon Launch Urban Cross In India
Fiat, the renowned Italian automaker recently announced its plans to launch of the Urban Cross in the Indian market. Belonging to the crossover segment, the Urban Cross is similar to the Punto in some aspects but is likely to sport a host of premium features along with a slightly steeper price tag.
In terms of exterior aesthetics, the Urban Cross is going to sport a unique front grille, along with LED integrated head lamps and a remodeled bumper. The interiors of the vehicle have been designed in sporty hues and luxurious fabrics to lend a premium feel and will come fitted with several comfort enhancing features like multi-functional steering wheel, automatic climate control, touchscreen infotainment system, keyless entry, among plenty others.
The Urban Cross will be powered by a 1.4-litre petrol engine, similar to the one on the Aventura Abarth. The engine delivers maximum power of 138bhp with peak torque of 210nm and comes mated to a 5-speed manual gearbox. Expected to retail in the premium category, the Urban Cross is likely be launched in the month of September and will be priced anywhere between Rs 8 lakh to Rs 10 lakh onwards.
8th August 2016
Indian Banks to slash lending rates further
The worldwide rating agency S&P anticipates a surge in loan requirements in the Indian market to come down (ranging from 11 to 13 percent by the end of this financial year). In the last few months, it was already slashed by 70 to 90 bps by most lenders in the country. But the report also skates over the sharp decline of credit growth in India, which shows poor business credit requests and glitches related to capital faced by government lenders due to less resource application and high level of control in some sectors.
8th August 2016
Govt. Plans to Push Eco-Friendly Automobiles Through Incentives
In the next three years, the Government of India plans to roll out over 50 lakh electric and hybrid vehicles that run on no emissions and are fuelled by renewable energy. This is a move directed at reducing emission levels in cities like Delhi which recently made it to the top of the list of the most polluted cities in the entire world.
This move will be welcomed well by all and sundry as it is a very progressive and forward thinking move, and will be the first of many steps taken in the right direction – away from the burning of fossil fuels.
Buyers will most likely be benefitted by government schemes and subsidies, as the Ministry of Road Transport and Highways is currently reviewing proposals to incentivise the purchase and sale of these automobiles.
The government has finally heard the pleas of millions of Indians who are choking in over-polluted cities. The burning of fossil fuels has also caused the destruction of a lot of natural resources and the heat generated has been found to be responsible for missing / delayed rains in many parts of the country.
This is a move that will also hopefully open the eyes of the public to the menace of purchasing fuel guzzlers, and the notion that owning a car is the symbol of success.
Over 9,000 tonnes of fossil fuels will be saved if the country migrates to sustainable vehicles – saving a lot of money for the exchequer on importing fossil fuels – saving more money for developing the nation. The environment will benefit incredibly as well, as greenhouse gas emissions will be reduced by over 2 lakh million tonnes – which is huge by any scale.
India currently stands at the cusp of being perceived as the most progressive or the most ignorant nation – and the proposal to incentivise or otherwise promote the purchase and sale of sustainable energy vehicles is the first step in the right direction.
Car loans and car insurance policies will fly off the shelves when these cars are finally launched.
4th August 2016
India Tops Charts for Global Traffic Accidents – Car Insurance and Two Wheeler Insurance is Important
While it’s common knowledge that large insurance companies sponsor studies that report scary numbers in a way that will promote the sales of their insurance products, there’s no arguing with this one.
India has been found to lead the world in the number of fatal road accidents as of 2016, according to a study conducted by the IFTRT.
The number of people affected by road accident deaths is huge, and surviving family members of victims have only the solace of financial pay out from insurance companies. The insurance policies that pay out third party settlements also give the person behind the wheel a greater peace of mind, as no money will have to be directly paid out-of-pocket for any settlements.
Most cases of vehicular death are ruled to be accidental in nature and the person operating the vehicle generally walks free of any legal ramifications or charges of vehicular manslaughter / murder / etc. With an active third party insurance policy, the process of claiming and finishing up court formalities gets a lot easier, as the insurer will conduct its own investigation – the results of which can be presented in court.
Car insurance and bike insurance have never been more important or relevant than they are today.
2nd August 2016
Roadside Assistance Gets Boost
The number of cars on Indian roads has increased exponentially over the last few years, which, while making commute easier, has also led to an increase in the number of vehicle breakdowns. Roadside assistance is a key factor for most car owners, with most insurance companies offering this assistance. Availing these services, however, can be hard, with numerous procedures to be followed. All these hassles have led to the creation of a new genre of startups who cater exclusively to the needs of people who require on-road assistance. Some of the popular companies ensure that help can reach stranded individuals within 20 minutes, offering mechanical service to get them back on the road.
According to data available, less than 5% of owners choose roadside assistance, instead putting their trust in local mechanics. Even those who buy new cars do not avail the additional package for roadside assistance which is generally offered by car manufacturers. A number of these new companies also provide assistance to bikes, charging a certain minimum amount for each case. The advent of these On-Demand roadside assistance companies could bode well for people, helping them find a quick solution to all their vehicle breakdown issues.
1st August 2016
Premiums Towards General Insurance Pick up for June
The month of June has been good for general insurance companies, with a 20.3% growth recorded by them on their gross premiums. The income from premiums stood at Rs. 8,522.22 crores, up from Rs. 7,082.57 crores for the same period last year. Private insurance companies registered a stronger growth compared to those in the public sector, with their premiums standing at Rs. 3,627.51 crore, a jump of around 30% over June last year. Public sector companies mopped by premiums worth Rs. 4,374.54 crore, a growth of under 14%.
The motor insurance segment also saw a good performance, with premiums worth Rs. 11,452.64 crores collected overall, with the private sector accounting for around Rs. 6,100 crores and the public sectors accounting for around Rs. 5,300 crores. Additionally, premiums of health insurance companies also increased by around 30% during the same period.
28th July 2016
Kia Motors to Establish Plant in India
The lucrative Indian car market could soon have a new entrant, with South Korean car manufacturer Kia Motors Corp all set to build a plant in the country. Kia, which has a tie-up with Hyundai is keen to cash in on the market, with the two companies aiming to strengthen their position. While Hyundai is India’s second biggest automobile company in terms of sales, the alliance of Kia and Hyundai is ranked 5th globally. The factory, which is likely to be completed in 3 years will have a capacity of 3 lakh vehicles, which could be a huge global boost to the company.
Internationally, the Kia-Hyundai alliance performed poorly in the last year, with sales falling below their annual target in 2015. Kia is currently scouting for a location for its plant, with three states, Maharashtra, Gujarat, and Andhra Pradesh being the frontrunners for this factory. In all likelihood, this plant will manufacture small cars, catering to the huge demand in the country.
27th July 2016
In Tamil Nadu Third Party Motor Insurance is On The Rise
There is a 17% increase seen in Tamil Nadu’s Motor third-party insurance premium. In 2015 the figures have shown Rs. 2,014 crore. In 2016 insurers are expecting a similar growth pattern due to Tamil Nadu’s growing economy.
Over 43% of the state's total income comes from motor insurance. Insurers are not surprised by this figure since Chennai is called the 'Detroit of South Asia.'
Car and two-wheeler sales are only expected to grow thanks to the higher disposable income, industrial growth in IT and automobiles as well as the thriving economy of the state. Higher sales in cars and two wheelers means higher insurance sales.
25th July 2016
12 New Launches Planned by Mercedes-Benz
German luxury automobile manufacturer Mercedes-Benz is all set to showcase a new fleet of vehicles, with 12 new cars to be launched in the current year. The company which launched 12 cars last year is the preferred brand when it comes to luxury cars in India, beating competition from the likes of BMW and Audi. In a recent interview with Roland S Folger, the MD and CEO of Mercedes-Benz India stated that the brand will be launching 12 new cars, with the AMG SLC 43 expected to make a foray into the market soon. In addition to the launches, 10 new exclusive dealerships are also on the anvil, with two of them already functioning.
The last year saw 15 launches by the company, with its stable now consisting of over 23 models. With over 13,500 cars sold, Mercedes-Benz witnessed a growth of 32% when compared to 2014. Overall expansion saw the number of dealerships increase to 84 showrooms, with an on-road assistance system present in 953 cities across India. The current year will see the company focus on SUVs, with the Mammoth GLC already available to buyers. Additionally, a new service oriented scheme, ‘My Mercedes – My Service’ was also thrown open, with the primary objective of it being to connect better with its customers.
21st July 2016
More Touch Points to Be Allowed for Motor Insurance
The Insurance Regulatory Authority of India (IRDAI) has allowed companies to introduce more touch points for motor insurance. Customers will be able to easily purchase motor insurance policies now. Going forward, agency norms might be relaxed to easily distribute motor third party insurance at pollution-check centres. The IRDAI has also encouraged companies to launch over-the-counter products for customers. According to the regulator, agents should also have opportunities to source motor insurance. Now, there will be no restriction placed on agencies to source motor insurance, if they have a tie-up with a manufacturer or motor dealer. Insurers will not be able to include any clause or agreement with any dealer or manufacturer following this.
19th July 2016
Pay-As-You-Can service introduced by Mahindra Insurance Brokers (MIBL)
Mahindra Insurance Brokers (MIBL) has launched the Pay-As-You-Can service to offer customers the flexibility of paying annual premiums according to their affordability. Currently, MIBL has signed a deal with Citrus Pay to offer short-term personal accident insurance using this model. This scheme is being offered from Religare Health Insurance. Customers can get this insurance scheme for a month against loyalty points to be used for shopping. The company is also planning to tie-up with other aggregators to offer short-term transit insurance, hospital cover and insurance cover for small and medium enterprises.
14th July 2016
3rd gen Jazz celebrates its 1st anniversary
Honda Cars India recently celebrated the first anniversary of its extremely popular hatchback, the Jazz. The current 3rd generation variant of the Jazz has gone on to become one of the most preferred cars in the Indian market, with the company selling over 47,335 units in the last year. A bold, youthful design coupled with enhanced features have made the Jazz the natural choice for youngsters, with the car imbibing Honda’s latest technology.
Available in both petrol and diesel, the Jazz was launched as a premium hatchback in July 2015. While the 1.5 litre diesel engine, i-DTEC was designed exclusively for the Indian market, Honda used an existing engine for its petrol variant. The company planned a series of events and promotions to mark this anniversary, offering exclusive offers and discounts to customers. The Jazz was one of the first hatchbacks to come with a paddle shift, with 1 in every 4 sold being a paddle shift. Available in 5 variants, the Jazz has offered the urban consumer a number of great options, helping them find a car which is perfectly suited for city roads.
12th July 2016
Third party motor insurance to be sold at pollution check centres in Telangana
The IRDAI has initiated motor third party insurance sales at certain pollution check centres in Telangana. The Insurance Regulatory and Development Authority of India has also asked State Governments to share motor vehicle data. After the initial phase in Telangana, the sale of motor third party insurance will be extended across all the states in the country. In India, own damage policies offer fixed cover for customers. Depending on the two-wheeler capacity, the premium for 75cc starts from Rs. 569, Rs. 796 for above 350 cc and for cars the premium ranges from Rs. 2055 for 1000 cc and Rs. 6164 for over 1500 cc.
11th July 2016
Insurance Penetration Sees a Growth of 3.4% in 2016.
As per the latest Swiss Re sigma report, insurance penetration has increased by 3.4% for the financial year, 2015-2016. In India, the total insurance premiums increased by 7.9% with contributions from non-life and life insurance premiums. This is mainly attributed to the Jan Suraksha insurance schemes. Insurance penetration relates to premiums as a percentage portion of the GDP. The Pradhan Mantri Jan Suraksha Yojana offers term insurance, pension benefits along with accident insurance under the Pradhan Mantri Suraksha Bima Yojana and the Pradhan Mantri Jeevan Jyoti Bima Yojana. Term insurance benefits are offered for Rs. 2 lakhs with a premium of Rs. 330 and a personal accident cover for Rs. 12 lakhs per annum. Non-life insurance premium saw an increase by 8.1%, higher than 2014. This growth can be attributed to health insurance premiums, personal accident and The survey said that non-life premiums growth also picked-up, growing by 8.1%, compared to a growth of 2.2% in 2014. Growth was led by stronger health (including personal accident (PA)) and motor third party liability premiums.
1st July 2016
Insurance Repositories Might Register Slow Business During Digitisation
All the five registered insurance repositories are expecting to see slow business when policy digitisation happens in October. This will be due to insurance companies not having tie-ups with these repositories to issue e-policies. The insurance has fiver registered repositories, namely, SHCIL Projects, Karvy Insurance Repository, NSDL Database Management, Central Insurance Repository and CAMS Repository Service. The Insurance Regulatory and Development Authority of India (IRDAI) has issued a notice saying that from October 1st, electronic insurance was mandatory for life insurance policies amounting to Rs.10,000 or above. Business is expected to increase once a lot of policies have been digitised. Car insurance policies will be issued in the digital format, regardless of the premium amount.
30th June 2016
If Driver Is Not At Fault, Mishap Claim Cannot Be Denied
According to the new ruling by the district consumer court insurance companies cannot deny claims for damages if the driver is not at fault (driver of the insured vehicle). A cost of Rs 5,000 has been imposed by the consumer court on New India Assurance Company. The company has been asked to reimburse a city-based lawyer Rs 40,897.
27th June 2016
Honda Car India is Expected to Launch 3 New Products in India 2016
Honda Car India has been very happy with how Honda BR-V SUV was received in the market. City and Amaze sedans have also been very successful. The company is planning to launch three more new products this year in order to increase it’s market share. There will also be at least one facelift version in the year 2016 – 17.
24th June 2016
A Big Digital Push is Planned for The Year by United India
A big digital push is planned for the year by United India Insurance Company (UIIC), a public sector general insurer. The company is aiming to increase its profit to more than two times of what it is now. From ₹221 crore, the company is trying for about ₹500 crore.
The company is looking into increase its bottom line by increasing online sales mainly. However, they are also looking at end-to-end offerings as well. Everything from claims settlement and grievance redress to sales will be facilitated online.
22nd June 2016
Hyundai offering discounts of up to INR 91,000 for Grand i10 as the company celebrates its 20th anniversary in India
Its Hyundai India’s 20th anniversary in the country and as part of the celebrations the company is offering massive discounts for the Hyundai Grand i10. The car’s petrol version buyers will benefit for up to Rs. 83,000. This means extended three year warranty worth Rs. 3,415, Rs. 22,585 under insurance, Rs. 30,000 as exchange bonus, Rs. 10,000 as cash discounts, Rs. 7,000 under Government employ scheme and Rs. 10,000 as loyalty bonus.
The diesel version of the Grand i10 will benefit from incentives which are worth up to Rs. 91,000. This amount includes Rs. 8,316 for three year extended warranty, Rs. 25,684 for insurance, Rs. 10,000 as cash discounts, Rs. 30,000 as Exchange bonus, Rs. 10,000 as loyalty bonus and Rs. 7,000 special benefits for government employees.
17th June 2016
E-Commerce Proposal From IRDAI Will Increment Online Insurance Sales.
General insurance companies across the country welcomed IRDAI’s proposal to sell and service policies using the online platform. Insurers are of the opinion that this would help increase overall sales of all types of insurance products. A draft of the proposal was issued by the Insurance Regulatory and Development Authority of India (IRDAI), where the e-commerce platform would be used for selling products. The IRDAI also suggested the launch of an Insurance Self-Network Platform. The online process would help customers procure policies without a physical signature process.
16th June 2016
Henceforth, Car Insurance Claims to Be Processed Directly to Claimant
Insurance beneficiaries usually have to wait ages before they actually get to hold and use their insurance pay out. Right from the start of the insurance claiming process, the beneficiary has to run around and jump through hoops to have his / her case heard, and investigated by the insurer – who almost always finds a way to distance itself from paying the claim on some grounds or the other, irrespective of the need of the insured / dependants of the insured.
In the rare cases that the insurer cannot find a way to avoid the payment, the insured / dependants have to wait for the “claim process” to be settled, after which the sum promised is deposited with the court. At this stage, the claimant must file an application and wait for the court to respond to that application before the money is actually disbursed.
Lok Adalats hearing motor / car accident cases where insurance pay out becomes mandatory are being directed by the TNSLSA (Tamil Nadu State Legal Services Authority) to process and deposit compensation amounts straight to the claimant’s account, and not deposit the same in court.
14th June 2016
Nissan Hopes to Be Third Time Lucky with Redi-GO
The booming Indian automobile sector has attracted the attention of global manufacturers, each trying to grab a piece of this lucrative sector. Nissan Motor Co. revived its Datsun brand to make a foray into the small car market, having launched three vehicles under this banner since its resurrection in 2012. While the response on previous occasions was sluggish, the company hopes that the new redi-GO will help revive its fortunes.
Nissan has launched an aggressive marketing campaign to create awareness about the new product, hoping to reach a wider segment of the population this time. Additionally, the company has also tied up with MyTVS to provide aftersales service, in addition to its own service network. Nissan hopes that the competitive pricing and attractive aftersales package will dispel apprehensions about the Datsun brand, helping the company finally solidify its position in the market.
13th June 2016
New car discounts in India for second week of June
Following is a list of great deals that new car showrooms are giving currently. Discounts and exchange bonuses will be different across cities and depends on the dealer as well. Better deals can be availed if you can haggle well.
Audi A3: Get of a cash discount of Rs 3.5 lakh.
BMW 3 Series: Avail a cash discount of Rs 4 lakh.
Hyundai Eon: Free first year insurance on both the petrol and LPG versions of the Eon is being offered. Also an exchange bonus of Rs 10,000 as well as a free third year extended warranty.
Maruti Suzuki Alto 800: Avail a cash discount of Rs 15,000 and an exchange bonus of Rs 20,000. Recently, the Alto 800 had a facelift, thus the company is offering an exchange bonus of Rs 20,000 and a cash discount of Rs 30,000 on the remaining stocks of the pre-facelift version.
10th June 2016
Common Service Centers Are Improving Insurance Penetration
A distribution center for the government and a low-cost set up called CSC has been especially designed to provide e-governance services to Indian rural population. A noble initiative by a substantial number of digitally adept and trained people has led to the formation of common service centers (CSC) or Jan Seva Kendras in villages of rural India. Primarily the young and also teenagers have enrolled as Rural Authorised Persons (RAP) to seek business.
Insurance Regulatory and Development Authority of India (Irdai) has specified a training program and exams for these individuals who wish to enrol themselves for the program. The subjects entails insurance products and other relevant topics. RAPs online exams is held by the National Institute of Electronics and Information Technology or other approved institutes by Irdai. This happens from time to time and the centers spread across India.
9th June 2016
ICICI Lombard General Insurance Forms Tie-Up with BMW India Financial Services
In a move to offer comprehensive car insurance policies to the BMW owners, ICICI Lombard General Insurance has formed a tie-up with BMW India Financial Services. BMW India Financial Services offers complete automotive solutions to meet financial requirements of their customers. Realizing the importance of a comprehensive motor insurance cover in the face of an unforeseen event, the company has partnered with the leading general insurance provider to enhance customer experience. ICICI Lombard assures quick claim processing within attractive TATs (Turn Around Time).
6th June 2016
Traffic Police vs. Street Racers – Harsher Penalties Introduced
In an attempt to curb the rising menace of youngsters in fast cars, a group of state transport ministers have approved the addition of a section in the Motor Vehicles Act.
The new section states that violators of traffic laws and offenders on the road indulging in street racing, rash driving, drunken driving, jumping signals, etc. will have to attend refresher training. This panel has also expressed its motive to immediately withdraw portrayals of rash / inconsiderate / fast / drunken driving on television and mass media in the form of advertisements, movies, etc. (which do not have a statutory warning).
Fines and punishments for offences are as follows:
For drunken driving / street racing / rash driving / using mobile phone while driving / jumping traffic signals / dangerous driving:
1. First time offenders: Fine of Rs.5,000 or 6 months in jail.
2. Subsequent offences by the same offender: Fine of Rs.10,000 or 2 years in jail.
3. Offenders who do not take crash victims to healthcare facilities: Fine of Rs.2,000 or 6 months in jail.
Driving without Motor insurance:
1. First time offenders: Fine of Rs.2,000 or 3 months in jail.
2. Subsequent offences by the same offender: Fine of Rs.4,000 or 3 months in jail.
Body builders, dealers, individuals who interfere with the damage control, construction, maintenance of vehicles will be fined between Rs.50,000 and Rs.1,00,000 depending on the severity of the offence. Spare parts dealers trading unauthorized parts will also be fined and penalized for unofficial tampering.
24th May 2016
Value-Added Services and Assistance Provided by Insurers
Being in the insurance companies is extremely competitive, especially since many insurance companies are not only offering standard insurance products but are going the extra mile to please their customers. Companies are now offering facilities like doctors for second opinion, concierge services, gift delivery and day-to-day repair assistance for the home. What’s more, there are communities which share information about products so customers can compare their services.
Reliance General Insurance is an example of such an insurance company. It has been offering roadside assistance services for motor insurance, but now also offers specialized services to the home insurance customers. With this kind of service, the company expects that they will be the first port of call. They have taken steps towards a full-service by tying up with concierge services, electricians, people who will do tax filing etc.
23rd May 2016
Providing Employment to Dependents of Deceased Policyholders Cannot be Used as Grounds to Deny the Insurance Claim
Recently in Thane there was a case reported of a school teacher that died in a traffic accident, and the school provided the deceased’s wife with a job on compassionate grounds.
The insurance company and the driver of the vehicle in question were ordered by the court to pay out a settlement to the deceased person’s family, but contested that they need not pay as they had provided the dependent with a job.
The court ruled that merely providing a job on compassionate grounds cannot be used as a reason to avoid honoring the insurance pay out under the Motor Vehicles Act.
A reputed insurance company has come under fire before for avoiding insurance benefit payment to grieving dependents of their policyholders who meet with unfortunate accidents. In this ruling, the judge ruled that Rs.12,00,000 must be invested in the name of the deceased’s minor daughter, Rs.2,00,000 should be invested for and Rs.6,00,000 given to his mother, and Rs.10,00,000 should be invested in an FD for his widow, and the balance amount should also be paid to the widow.
This claim was filed in 2011, and the case is being resolved 5 years later now in 2016. Insurance companies are under increasing pressure by the public and ethics groups to provide resolutions and process payments faster to insured parties.
20th May 2016
FY 2016-17 May Show Increased Combined Ratios for Motor / General insurance
The private car and two-wheeler segment of motor insurance third-party premiums went up by 10% – 40% from the 1st of April this year, but once the heavy losses in the motor segment are taken into account, the rate hike is seen to be proportionally higher than was seen before.
Motor cars under 1,500 CC saw rates rise by 40%, but higher engine capacity cars saw rates rise by only around 25%.
Two-wheeler up to 150 CC can expect to see rises of around 10% - 15%, and higher engine capacity two-wheelers (150 to 350 CC) will see a rise of 25%.
The total incurred claims for non-life insurers was around Rs.49,179 crore in FY 2013-14, and Rs.55,232 crore in FY 2014-15. In FY 2015 incurred claims showed a rise of 12.31%.
Health insurance saw a claims ratio in the same time period of 96.83%.
Motor insurance, in the same time period, saw a claims ratio of 77.14%.
19th May 2016
Driver less Cars Will Affect Motor Insurance Industry
Recent studies have indicated that the motor insurance industry is set to lose almost $20 billion worth of premiums by 2020 if driverless cars become more accepted in markets worldwide. According to a study published by Volvo, while crashes are set to decline by up to 80% by 2035, the motor insurance industry will see plummeting premiums and loss in revenue. The shaving off of premium collections for insurers could have been more were it not for the fact that emerging nations like India and China are leading the motor insurance market and will become largest motor insurance markets by volume by 2025.
16th May 2016
Kochi MVD Cracking Down on Unregistered Heavy Vehicles
The Motor Vehicles Department in Kochi has discovered that many construction vehicles are being used without being registered.
The law states that all vehicles need to be registered within a maximum of 3 months from the date of purchase, and the MVD is now realizing that a lot of vehicles have slipped by and are being used without being registered.
The cost for registration is set at 8% of the cost of the vehicle being registered.
In the coming weeks, the MVD in Kochi plans to conduct a huge drive to check construction and other heavy vehicles to see whether they have been registered or whether they are skirting the law and using their vehicles illegally.
Vehicles must also mandatory have insurance coverage from any registered vehicle insurance provider.
Not having registered a construction vehicle and not being under any kind of insurance cover recently landed the owner of a road-roller a hefty Rs.1,45,000 fine – as the vehicle hadn’t been registered for 3 years after being bought.
Car insurance companies will see a huge influx of customers if and when the government decides to run a check on whether private vehicles have all been registered. For now, however, a lot of construction companies that are running their vehicular equipment without registration and insurance will have a lot to answer for if discovered.
13th May 2016
No New Diesel Taxis in Delhi, Old Ones to Be Phased Out
The Supreme Court has ruled in favor of the proposal to ban taxis that run on diesel fuel in the national capital.
Existing diesel taxis that have an all-India travel permit will be allowed to continue to operate until their permits expire. There will be no renewal of permits, or registration of new diesel taxis.
The Delhi Government and Center were forced to appeal the blanket-ban on diesel taxis following protests and agitation by many parties who were affected by the ruling.
Car insurance companies are scrambling to review, modify, and create new products that better suit the insurance needs of a large number of vehicle buyers who now only have petrol or electric options.
A gradual phasing out of the existing diesel taxis and total ban on the registration of new ones seems to be the ideal way to appease environmentalists, taxi drivers, unions, and the general public.
This has been a landmark victory not only in the effort to reduce air pollution in the NCR, but also to set the precedent for future bans on services that have a larger carbon footprint than necessary.
12th May 2016
Italy Presents The Answer To Diesel To CNG Conversion
There are enough cars out there with the option of petrol and CNG but none that offer the CNG option for diesel cars but now there may be. The technology, to make this conversion work, has been brought in from Italy but it is facing two major hurdles. The first is that implementation cannot take place without the government's permission and the second is that the system itself is quite expensive to install since a complete overhaul of the engine is a part of the process. The problem is that if the government decides to permit this change, it will also have to change the act that governs registration of vehicles since it currently says that only one fuel can be used in a particular car. If the technology is implemented, diesel vehicles will be able to run on CNG, albeit, a bit slow.
10th May 2016
Survey Finds That More People Are Now Purchasing Motor Insurance Online
A survey conducted by ICICI Lombard General Insurance and Google India has found that more people are now purchasing non-life insurance products like Motor Insurance online. 3007 people, aged 25 – 55, were surveyed offline in 18 cities. The survey found that 24% of people were purchasing Motor insurance policies online.
The sector director of Google India, Vikas Agnihotri, said that the Internet will play a very important part in the sale of insurance policies in India in the coming years. The survey also found that consumers search for insurance related information both on mobile devices and desktops. It further suggests that people across age groups were willing to purchase motor and other non-life insurance products online.
16th May 2016
Cashless Car Insurance For Road Accident Victims
In an experimental venture, the Indian Ministry of Road Transport & Highways has joined hands with country’s renowned insurance carriers, IFFCO Tokio General and ICICI Lombard General, to deliver cashless automobile insurance coverage to victims of road accidents (including third parties). Part of their service includes providing prompt ambulance services to get the victims to the nearest hospitals as well. The premium will be given out by the ministry. The claim sum is kept at a tentative INR 30 grand. ICICI Lombard is the insurance provider assigned for the Jaipur-Delhi route and IFFCO Tokio General does the same for mishaps occurring on the Vadodara-Mumbai highway. The policy protects over victims of any highways stretching for 150-200 kms.
07th October 2015
Cashless Treatment Scheme Proposed by Indian Government, for Crash Victims
In order to provide emergency medical care to crash victims, the Indian government has proposed the introduction of a cashless treatment facility. This scheme would be applicable on areas such as the Golden Quadrilateral, East-West corridor and the North-South corridor, which covers around 13,500 km of national highways. An estimate of Rs. 250 crore has been considered as the initial funding that would be required in order to make this scheme possible, and the funding options are to come from road tax and also from car/motor insurance.
09th August 2015
ICICI Lombard General Insurance Requests Hike in Third Party Motor Insurance
Non-life insurance companies like ICICI Lombard General Insurance are dissatisfied with the hike proposed by the IRDA and through the General Insurance Council, they have requested for a higher premium rate for third party motor insurance offered by them. The proposed road transport bill would be affected by the change since the claims for policies issued in 2015-16 would come two years later by which time the proposed bill is expected to be in place. According to the managing director and CEO of ICICI Lombard General Insurance - Bhargav Dasgupta, the claims paid out do not reflect long term losses since claims are continuously paid over the years at varying frequency.
29th March 2015