Exposure Draft – IRDAI (Insurance Intermediaries) (Amendment) Regulations_ 2022

IRDAI vide Circular ref. No. IRDAI/INT/ED/REG/166/8/2022 dated August 3, 2022 has issued an Exposure Draft – IRDAI (Insurance Intermediaries) (Amendment) Regulations, 2022 [Draft Regulations] for inviting comments / suggestions, if any from the stakeholders.

The Draft Regulation proposes to facilitate open architecture which will enable the prospects and policyholders to have wider access in purchasing insurance and also to enhance the reach of insurance to every nook and corner of the country.

Major highlights of the Exposure Draft are as follows:

• The Draft Regulation proposes following amendments to the IRDAI (Registration of Corporate Agents) Regulations, 2015 [CA Regulations]
• The maximum limit of arrangements permitted to Corporate Agents(CA) with Life, General and Health Insurers from the existing limit of 3 under each category to be increased to 9 under each category.
• The restriction on a CA(General) soliciting and servicing “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” to be removed.
• The CA(Composite) may have arrangements with either of Life, General and Health Insurers in excess of the total limit of 9 under each category, subject to such Corporate Agent not having more than 27 arrangements with all Insurers combined.
• The Draft Regulation proposes following amendments to the IRDAI (Registration of Insurance Marketing Firm) Regulations, 2015 [IMF Regulations]
• The maximum limit of tie-ups permitted to Insurance Marketing Firms (IMF’s) with Life, General and Health Insurers from the existing limit of 2 under each category to be increased to 6 under each category.
• The option given to IMF’s to engage Agriculture Insurance Company of India Ltd. (AIC) and Export Credit Guarantee Corporation Ltd. (ECGC) in addition to its existing arrangements with General insurers to be removed.

The IMF’s are no longer required to intimate the IRDAI for any changes made in the engagement with Insurers.

Source category: IRDAI

Attachments

• /2022/73_Draft_IRDAI(Insurance_Intermediaries)_(Amendment)_Regulations.pdf