During the Lockdown period, the movement of vehicles was limited and the educational institutions remained closed | Photocredit: Sakeer Hussain
The Insurance Regulations and Development Authority of India (IRDAI) has rejected representation that is looking for a policy to release buses from educational institutions from the payment of the insurance premium or to relatively the premium amounts for the locking period during the COVID-19 Pandemie.
The Indian government imposed a full lock-down in the country from 25 March 2020 to 14 April 2020 and later extended until 31 May 2020 to limit the distribution of the COVID-19 Pandemie.
During the Lockdown period, the movement of vehicles was limited and the educational institutions remained closed. Some states have expanded the closure of educational institutions for a longer duration.
In view of the limited movement of vehicles during the Lockdown period, in December 2020, Sri Vivekananda Educational Trust asked the insurance line provider to formulate a feasible policy that release the buses of educational institutions from the payment of the insurance premium for the closing period of the educational institution or alternative, to reduce the premium amount for the closing amount for the closing amount for the closing amount for the closing period.
Subsequently, the Association of Management of Coimbatore Anna University connected to colleges and for Sri Vivekananda Educational Trust written petitions before the Hon’Ble Madras High Court is looking for a direction to Irdai to formulate a viable policy in this regard in the entrepreneurship. Irdai.
Referring to this, Irdai said: “Although educational institutions may have been closed, it cannot be assured that the buses were completely unused during the locking period. Unauthorized or incidental use for maintenance, emergency transport or any other goal could still have led to accidents. In such cases, the policy conditions would still be taken into account.”
For both Motor Drdeparty (TP) and the own damage (OD) insurance coverage, it was neither feasible nor desirable to formulate a policy or to give an instructions to vary the coverage or any reduction of the premium for the locking period due to COVID-19-Pandemie, the regulator said while the regulator takes the representation.
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Published August 26, 2025
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