On Wednesday, the Ministry of Finance issued notifications that the renewal dates of health and motor insurance policies falling between 25 March to 14 April 2020 have been extended to 21 April.
It comes as a relief to insurance policyholders with existing policies expiring between 25 March and 14 April but unable to renew them due to the 21-day nationwide lockdown.
While health insurance policies generally allow a grace period of one month for renewal, the policy ceases to remain in force until renewed. In the case of third party motor insurance, the policy lapses if not renewed on the due date and the vehicle owner can become liable to pay penalty and compensation to the third party with their own money.
The extension of renewal comes as an important requirement to help these policies stay in force. Their due dates will now be moved forward to 21 April.
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