New Delhi: In an effort to get the claim limit fixed, the general insurance companies have started putting pressure on the government. These companies are also planning to meet the Finance Minister next week to request for claim limit.

As well, there is also a demand to limit the number of days following the accident to process the claim. Companies want that the government should make required amendments in the proposed Motor Vehicle Act.

Finance Minister P Chidambaram is addressing the issues of insurance companies. He recently met the representatives of Life Insurance Companies and accepted their demands. As well, he gave clear instructions for implementation of directives of the Insurance Regulatory and Development Authority (IRDA).

Now, the Finance Minister has called for a meeting with representatives of general insurance companies. The representatives from two dozen general insurance companies and IRDA will participate in the meeting.

The CEO of Reliance General Insurance Rajiv Jain said that with no specified limit for claim request is causing lots of problem to general insurance companies. He reasons that when there is already a specified limit for rail and air accident, why the government is shying away from fixing specified limit for motor insurance claims. There is a claim limit of Rs 4 Lakh and Rs 10 Lakh for rail and air accidents.

The general insurance companies want necessary amendments in the proposed Motor Vehicle Act which is yet to get nod from the Lok Sabha. Earlier, IRDA had directed to increase the motor insurance premium and to fix the claim limit but Kolkata high court had put restrictions on it.


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