MANAGEMENT

Detailed explanation-1: -In India, as per the Motor Vehicles Act, it is mandatory that all vehicles that operate in any public space must have a motor vehicle insurance cover. Policyholders must have at least ‘third party liability’ motor insurance cover even when opting for the basic insurance plans.

Detailed explanation-2: -An auto insurance policy is a contract between you and an insurance company. You agree to pay the cost of the insurance policy, called a premium, and to obey the insurance company’s stated rules. In return, the insurance company agrees to pay for certain expenses associated with an accident or other covered losses.

Detailed explanation-3: -The general insurance cover that is mandatory is third-party liability car insurance. This is the minimum coverage that a vehicle should have before they can ply on Indian roads.

Detailed explanation-4: -Is it illegal to drive without Insurance Policy? Yes, it is illegal to drive without an insurance policy as per the Motor Vehicle Act, 2019. The Government of India has made Third-Party Liability Insurance mandatory for all motor vehicles to drive legally on the road.