NEW DELHI: There is a low compliance rate of the Supreme Court order that insurance companies will not renew insurance of a vehicle unless the owner provides Pollution Under Control (PUC) certificate, the Environment Pollution Control Authority (EPCA) observed.
The EPCA also asked the Insurance Regulatory and Development Authority of India (IRDA) to identify vehicles in Delhi-NCR that don’t get registered for insurance in the second year.
“We want data of the last three to four months on how many people have been denied insurance because they did not have PUC,” said EPCA member Sunita Narain. “Let us work towards 100 per cent insurance and 100 per cent PUC compliance in NCR and see what the loopholes and let us see how the improvements can be made.”
In August 2017, the apex court had directed the firms not to insure a vehicle unless it has a valid PUC certificate on the date of renewal of the insurance policy. It is mandatory for every vehicle owner to have a valid PUC certificate to comply with the prescribed emission norms. A vehicle without such certificate is liable to be prosecuted under the Motor Vehicles Act.
The IRDA, however, said it cannot refuse third-party insurance to anybody as it will be a violation of the Insurance Act. Also, the IRDA said it doesn’t have any data on how many such vehicles exist and that it will start a pilot project in Delhi — identifying such vehicles that do not return for registration — before it is replicated in the rest of the country. “We will then share the details of such vehicles with the transport department.”
The insurance industry and the EPCA also said that there is a huge non-compliance with respect to insurance also. The EPCA asked insurance officers in Delhi to ensure both PUC and insurance are electronically monitored.
The EPCA said it would work with the insurance bodies to ensure complete compliance of the court order. It also said that it would direct the Delhi government to “strongly advertise that insurance is mandatory and so is PUC”.