Charges for cancelling car insurance

[Dhruvzz]

On monday 25th of May my father took out insurance from Sriram General Insurance on a new car he had just bought . They pomised him it was the lowest price he was going to get for his car. I did some checking and found out surprise surprise it wasn't. the next day I found a quote which is more than half of what Sriram General Insurance had offered and we decided to change. He went in to cancel on the third day(28th) of the policy and they have charged him Rs **** saying they reduced the cost of the insurance and if anything had happened then they would have had to pay out..

Help please!!!

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[Jignesh]

I don't know about Motor Insurance. But for Life insurance there is statutory 14-day cooling off period by law (IRDA).

Hope this may help.

[HeadStart]

This may be useful for you -
Insurance regulator IRDA asked all life insurance companies not to deduct any premium while giving back the money to the customer who wants to cancel the policy within 15 days of opting for it.

Please check complete news -
http://www.financialexpress.com/news...s-irda/467501/

[Krypton]

From application to cancellation was 3 days.
There a statutory 14-day cooling off period by law.