IRDAI (insurance intermediaries) (amendment) regulations
Insurance Regulatory and Development Authority of India (IRDAI) (Insurance Intermediaries) (Amendment) Regulations, 2022
F.No. IRDAI/ Reg/4/183/2022.—In exercise of the powers conferred by clause (vb) of sub-section 2 of section 114A read with Section 42D and 42E of the Insurance Act, 1938 (4 of 1938) and section 14 and 26
of the Insurance Regulatory and Development Authority Act, 1999 (41 of 1999), the Authority, in consultation with the Insurance Advisory Committee, hereby makes the following regulations, namely: –
Objective: This amendment shall;
(a) enable the prospects and policyholders to have wider choice and access to purchase of insurance through various distribution channels;
(b) facilitate the reach of insurance across the country for enhancing insurance penetration;
Short Title and commencement:
1.1 These Regulations may be called the Insurance Regulatory and Development Authority of India (Insurance Intermediaries) (Amendment) Regulations, 2022.
1.2 These Regulations shall come into force on the date of their publication in the Official Gazette.
CHAPTER I
- Amendment to the Insurance Regulatory and Development Authority of India (Registration of Corporate Agents) Regulations, 2015
The Regulation 3 on Scope and Applicability of these Regulations is replaced as under.
These regulations shall cover Registration of Corporate Agents for the purpose of soliciting, procuring and servicing of Insurance business of life insurers, general insurers and health insurers during the validity of certificate of registration as follows.
(a) A Corporate Agent (Life), may have arrangements with a maximum of nine life insurers to solicit, procure and service their insurance products.
(b) A Corporate Agent (General), may have arrangements with a maximum of nine general insurers to solicit, procure and service their insurance products. Further, the Corporate Agent (General) shall solicit, procure and service retail lines of general insurance products and commercial lines of such insurers having a total sum insured not exceeding rupees five crores per risk for all insurances combined.
(c) A Corporate Agent (Health), may have arrangements with a maximum of nine health insurers to solicit, procure and service their insurance products.
(d) In the case of Corporate Agent (Composite), the conditions as specified in clauses (a) to (c) shall apply provided that a Corporate Agent (Composite) may have arrangements with insurers in excess of the ceilings prescribed in (a), (b) and (c), subject to the condition that the total number of arrangements with life, general and health insurers, shall not exceed twenty-seven at any point of time.
CHAPTER II - Amendment to the Insurance Regulatory and Development Authority of India (Registration of Insurance Marketing Firm) Regulations, 2015.
- Scope and applicability of these Regulations:
The Regulation 3a(i) on Scope and Applicability of these Regulations is replaced as under.
a (i) Tie ups with insurers:
The Insurance Marketing Firms (IMF) shall engage Insurance Sales Persons (ISP) for the purpose of soliciting and procuring insurance products of maximum of six Life insurers, six General insurers and six Health insurers at any point of time, under intimation to the Authority.
Provided that any change in the engagement with the insurers shall be governed by the terms of the agreement entered into between the Insurance Marketing Firm and the insurer, with suitable arrangements for servicing existing policyholders by the concerned insurer, in case of cancellation/ termination/ discontinuity of agreement.
The Insurance Marketing Firm shall intimate the Authority of any such change in the engagement with insurers in the format specified by the Authority in this behalf.
19.3: Area of operation of the Insurance Marketing firm:
The rules (2) and (5) governing the area of operation of the Insurance Marketing firm stated in Part III of Schedule IV under the Regulation 19 (3) are replaced as under.
(2): The “Area” is defined as the state for which the registration of the Insurance Marketing Firm is valid.
(5) The registered Insurance Marketing Firms may operate in all districts within a state for which the registration is valid.
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