Transporters’ body not to take part in AIMTC strike

Santanu Sanyal Updated - March 29, 2013 at 02:50 PM.

The strike has been called to oppose the “arbitrary steep hike” in premium rates for third party motor insurance as proposed by the Insurance Regulatory and Development Authority. 

In a sharp departure from its earlier stand, the All India Confederation of Goods Vehicle Owners’ Association has decided not to participate in the indefinite transport strike called by the All India Motor Transport Congress (AIMTC) from April 1.

The association has accordingly informed all its constituents asking them to operate their vehicles as before on April 1.

The strike has been called to oppose the “arbitrary steep hike” in premium rates for Third Party Motor Insurance as proposed by the Insurance Regulatory and Development Authority (IRDA).

AIMTC had given the strike call and the association had supported it. The transport bodies demanded the withdrawal of the proposed increase; instead, the Third Party premiums should be de-tariffed.

Meanwhile, IRDA, according to the association, has scrapped the proposed graded steep hike in premium rates.

A new order has been issued whereby the increase in premium rates for all types of goods vehicles has been reduced to 20 per cent across the board.

“This is a positive development and we hope that our demand for de-tariffing too will be conceded shortly,” according to the association Secretary General Chittaranjan Das.

Published on March 29, 2013 09:08