IRDAI vide its Circular bearing no. IRDAI/RBC/CIR/MM/158/8/2023 dated August 10, 2023 has issued a Technical Guidance Document (TGD) for promoting efficiency in conduct of Insurance business and further has issued guidance for Quantitative Impact Study-1 (QIS1).
The Circular is binding on:
1. Life Insurers
2. Reinsurers
3. General Insurers
4. Branches of Foreign Reinsurers
5. SAHI
6. Lloyds India
Amongst various other initiatives of IRDAI towards “the last mile of ‘Insurance for All by 2047”, it has introduced the Risk Based Capital (RBC) framework and the RBC Technical Guidance document after due consideration with all concerned authorities and evaluating framework of other jurisdictions.
Key highlights pertaining to QIS1 is as follows:
1. The results of QIS1 shall be submitted by the Insurers on or before November 30, 2023.
2. Insurers shall carry out QIS1 as per the TGD with the data used for Actuarial Valuation as at March 31, 2023. TGD and requirements regarding associated templates for submission of results, mode of submission of results from QIS1 exercise along with supplementary information is being informed separately to the insurers.
3. QIS1 results shall indicate initial assessment and the Technical Guidance on proposed framework may further be refined based on these results and suggestions/feedback from the industry. It is important to note that this is a separate exercise and insurers shall continue to submit regulatory returns as mandated by the current regulatory regime as and when due.
Source category: IRDAI
Attachments
- /2023/244_Technical_Guidance_in_respect_of_Indian_Risk_Based_Capital_Framework_Quantitative_Impact_Study_1.pdf
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