What is the Full Form of PUC in Insurance?
The most comprehensive form for PUC Insurance is an Pollution under control certificate. This is a document that demonstrates the emissions levels of the vehicle. Any vehicle, be it one is a bicycle or car employed for business or personal reasons, should be equipped with this certificate. Since fuel-powered vehicles emit dangerous chemical compounds like carbon monoxide, it’s essential to monitor their emissions levels.
Also Read: What is TCS Full Form in Income Tax?
The significance of PUC certificate in insurance:
Numerous jurisdictions require vehicles to be registered with the PUC certificate. Making sure that the vehicle is equipped with an active PUC certificate helps both the insurance company and the insured in meeting environmental standards. Certain insurers will require the valid PUC certificate before they issue or renew an insurance policy. This ensures insurance coverage if the vehicle is in compliance with environmental standards, which could be an essential requirement to be eligible for insurance.
Can an insurance claim get denied when there isn’t a PUC certification?
According to the circular issued by IRDAI on August 26 20th, 2020, insurance companies can’t deny a car insurance claim if it is not in possession of an authentic PUC certificate. But, this doesn’t suggest it is a requirement that a PUC certificate is not needed. All vehicles are required to operate on public roads. But, if you don’t have an active PUC certificate the insurance claim you filed will not be affected.
