PUC certificate mandatory to renew vehicle insurance in India: IRDAI

NEW DELHI: The Insurance Regulatory and Development Authority (IRDAI) has notified the insurance providers in India with a new circular, asking them to obtain a valid pollution under control (PUC) certificate for the vehicle while renewing the policy. The regulatory body has said that the insurance company will not pay any damages if the vehicle’s PUC certificate’s validity expired during the time of the accident, adding that the pollution license is essential for all claims.

The Supreme Court (SC) of India has previously ordered insurance companies not to ensure unless they have received a valid PUC certificate on the date of insurance policy renewal. In order to ensure that direction given by SC is followed properly with a special focus on compliance in the National Capital Region of Delhi (Delhi-NCR), IRDAI issued a circular to all Chief Executive Officers (CEO) and Chairman-cum-Managing Director (CMD) of general insurance companies. The circular noted that the Central Pollution Control Board (CPCB) has raised concerns about the situation of compliance of above direction of Hon’ble Supreme Court of India in Delhi –NCR.