Types of Commercial Vehicle InsuranceTypeWhat It CoversMandatory?Premium RangeThird-Party OnlyInjury/death to others, third-party propertyYes (by law)₹3,000-25,000/yrComprehensiveTP + own damage, theft, fire, floodNo but recommended₹10,000-80,000/yrFleet PolicyMultiple vehicles under one policyNoDiscounted bundle ratesIRDAI Third-Party Premium Rates for Commercial VehiclesVehicle TypeGVW/SeatingAnnual TP PremiumAuto Rickshaw3-wheeler₹2,539Taxi/Cab (petrol)Up to 1000cc₹5,437Taxi/Cab (diesel)1000-1500cc₹7,148Goods Carrier7,500-12,000 kg GVW₹16,049Goods Carrier12,000-20,000 kg GVW₹24,190Goods Carrier20,000-40,000 kg GVW₹31,580BusUp to 18 seats₹12,192Bus36+ seats₹25,453⚠ Legal Warning: Driving a commercial vehicle without insurance is a criminal offense. Fine: ₹2,000 (first offense), ₹4,000 (repeat). Vehicle can be impounded. In case of accident, the driver/owner is personally liable for all damages — which can run into crores.Key Differences from Private Vehicle InsuranceHigher premiums: Commercial vehicles run more and face greater risk.GVW-based rating: Premium depends on Gross Vehicle Weight, not engine cc.Goods-in-transit cover: Optional add-on to protect cargo being transported.Driver PA cover: Higher mandatory PA cover for commercial drivers.Route permits: Policy must match the vehicle's route permit (inter-state or intra-state).Essential Add-Ons for Fleet OwnersGoods Carrying Vehicle (GCV) add-on: Covers cargo/goods during transit.Legal Liability to Paid Driver: Covers driver injury/death claims.IMT-23 (Named Driver): Extends coverage to named additional drivers.Breakdown Assistance: 24/7 towing and on-road repair for trucks.Frequently Asked QuestionsCan Ola/Uber drivers get commercial insurance?

Yes. App-based taxi aggregators require comprehensive commercial insurance. Most major insurers (ICICI Lombard, HDFC ERGO, GoDigit) offer specific ride-hailing vehicle policies. Premium is higher than private car but lower than traditional taxi rates.

What is the NCB structure for commercial vehicles?

Same as private vehicles: 20% after 1 year, up to 50% after 5 claim-free years. For fleet policies, NCB applies per vehicle, not per fleet.

Commercial Vehicle Insurance India: Trucks, Taxis & Fleet Owner Guide

By Admin • Feb 23, 2026 • 📖 4 min read

🎯 AD POSITION: BELOW VIDEO
Replace with real AdSense code on live server

Next Article Marine Insurance India: Cargo Coverage for Importers, Exporters & Logistics →

Written By

Admin

Insurance & financial content specialist at PolicyBaazar. Helping Indians make informed insurance decisions with expert analysis and unbiased reviews.

📅 Published: Feb 23, 2026 📖 820 words ⏱️ 4 min read

Commercial Vehicle Insurance India: Trucks, Taxis & Fleet Owner Guide

Related Articles

Car Insurance in India 2025: Comprehensive vs Third-Party &#8212; Which One Do You Need?

Two-Wheeler Insurance in India 2025: Save Up to 70% on Bike Insurance Renewal

Electric Vehicle Insurance India 2025: Battery Cover, Premiums & How to Save

Car Insurance in India 2025: Comprehensive vs Third-Party — Which One Do You Need?