Though the details of the Motor Insurance agenda is yet to be known, sources said like common empanelment of hospitals  and standard rates in the Health Insurance, there will be nationwide common empanelment of garages with standard rates.

Mumbai:After undertaking the reforms agenda in the Indian health insurance sector, the largest segment in the Indian general insurance industry, the General Insurance Council is set to revamp the Motor insurance in a similar manner.

Motor insurance is the second largest segment in the industry.

The Council, the representative body for 34 domestic general insurers, is planning to appoint a consultant to implement its Motor reforms agenda.

In FY 25, the Motor Insurance, consisting of own damage and third party , has almost contributed over Rs 1 lakh crore with market share of over 32 per cent in the industry.

However, the motor third party segment remains the largest loss making portfolio with a high combined ratio in the industry, sometimes eroding the entire profitability of the companies.

By implementing reforms , the GI Council intends to reduce the losses which will impact positively on the high motor premium.

Though the details of the Motor Insurance agenda is yet to be known, sources said like common empanelment of hospitals  and standard rates in the Health Insurance, there will be nationwide common empanelment of garages with standard rates.

The larger action plan will include  initiatives like streamlining claims processes, improving customer service, and exploring the use of technology like AI to enhance the industry.

Meanwhile, the Council  is launching its much awaited insurance awareness campaign. It will announce the details of its nation wide campaign across the channels  on 14th of this month.