Truckers to go on strike to protest insurance premium hike

Truckers to go on strike to protest insurance premium hike | Insurance Business

Truckers to go on strike to protest insurance premium hike
Several truck owners’ associations in India are going on strike as part of their protest against the sharp increase in third-party motor insurance premiums. This could cause disruptions in the supply of several valuable commodities.
 
The South India Motor Transport Association has already been on indefinite strike since Thursday, while the All India Confederation of Goods Vehicles Owners’ Association (ACOGOA) called for a nationwide indefinite strike beginning April 01.
 
“We will remain off the road from April 01. We protest the exorbitant rise in premium of the third-party insurance, which has gone up by 800% from 2002 till date,” ACOGOA’s president Channa Reddy told the Hindustan Times.

Want the latest insurance industry news first? Sign up for our completely free newsletter service now.
 
Meanwhile, All India Motor Transport Congress’ (AIMTC) president SK Mittal said that they are protesting against the Insurance Regulatory and Development Authority of India’s (IRDAI) proposal to hike third-party motor insurance premiums by almost 50% starting April 01. He also called for the revival of the tariff advisory committee.
 
“Previously, the tariff advisory committee was an active body having representatives from all stakeholders,” said Mittal. “The committee must be reinstated and real time data should be made available to the committee to take the final decision on hike.”
 
AIMTC’s strike is set to begin on April 20.
 
While truckers are aware that going on strike will cause higher prices of goods due to disruptions in supply deliveries, they say that they have no choice.

“The supplies of commodities will be hampered but what else can we do? We have been raising the issues for a long time,” said Mittal. “But nobody paid heed to our demand.”


Related stories:
India’s third party motor insurance may cost 50% more
IRDAI rejects mandatory listing of insurers
Indian insurance sector’s growth outstripping its economy, says regulator