– June 10, 2020The long-term Third-Party Package, which includes Own Damage cover as well for three and five years, has been withdrawn by the IRDAI. This applies for both two and four-wheelers with effect from 1 August 2020. The IRDAI observed that the delivery of long-term Third-Party Liability policies is difficult as it is expensive for both two-wheeler and four-wheeler owners. It added that the possibility of being linked to loans or forced selling was high and that the vehicle owners have no choice but to opt for the long-term product with no options. Additionally, the IRDAI said that the NCB is not the same across insurance companies, which could lead to dissatisfaction and confusion among policyholders. With this notification, customers won’t be given the option of long-term Own Damage plans, only long-term Third-party plans will be offered to customers.