Relief For Policy Holders: Finance Ministry Scraps Deadline For Health, Motor Insurance Renewals

TPI Staff April 16, 2020

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Mumbai: Policyholders can breathe a sigh of relief as the Union Finance Ministry said on Thursday that all health and motor insurance policies that occur during the lockdown period can be renewed by 15 May.

This morning, Finance Minister Nirmala Sitharaman took to Twitter to announce the move to ease the difficulties of those seeking a policy renewal.

“With a view to mitigating hardship to insurance holders whose health & motor (third party) insurance policies are due for renewal while COVID-19 lockdown, Govt. has issued a notification allowing policyholders to make payments on or before 15.05.2020 towards a renewal of their policies,” she said in her tweet.

https://twitter.com/nsitharamanoffc/status/1250634301772713985

In a subsequent tweet, he further clarified that the policy move between March 25 to May 3 is to “ensure continuity and payment of hassle-free claims during the aforementioned continuation period”.

To deal with the epidemic, the government extended the nationwide lockout from 15 April to 3 May.

Many are facing difficulty accessing insurance companies for their policies and claims as the country is spreading from a deadly coronavirus outbreak due to lockdowns and much-needed ‘social disturbances’.