Many insurers have announced the launch of add-on motor insurance cover, called ‘Pay As You Drive’ (PAYC) under the IRDAI’s Sandbox Regulations, and owing to the overwhelming response from customers, Bajaj General Insurance has also launched this as a full-fledged cover under motor insurance products.
The pay-as-you-consume add-on cover can be opted by the customer along with the basic OD plan under Package Product, Bundled and Standalone OD cover. Customers can choose coverage based on their vehicle usage, further to which the premium will be calculated, i.e., kilometres driven annually. Customers can also avail of an additional benefit in premium for their safe driving.
Customers’ driving behaviour will be analysed based on a telematics device installed in the vehicle, driving metrics recorded on their mobile app, or information provided by them through a device, etc. Customers need not worry if the opted kilometres during the policy period get exhausted; they can add kilometres to their plan using the top-up plan
nsurance premium will be based on how they want to use their vehicle, depending on their driving behaviour, using telematics.