Modification of Surety Insurance Guidelines

IRDAI vide Reference No IRDAI/NL/CIR/SIC/104/5/2023 dated May 15, 2023 has revised the IRDAI (Surety Insurance Contracts) Guidelines, 2022 as under:

Clause 6.1 (a): Meeting the requirement of maintaining a solvency margin of not below 1.25 times of the control level of solvency specified by the Authority. Provided that where the solvency margin of the insurer falls below the specified threshold limit at any point of time, the insurer shall stop underwriting new Surety Insurance business until its solvency margin is restored to above the threshold limit.
Clause 6.4(d): The limit of guarantee shall not exceed 30 percent of the contract value .

All other provisions of the guidelines shall remain unaltered.

The earlier IRDAI prescription on the subject could be examined instantly at:

Source category: IRDAI