IRDAI vide notification bearing no. IRDAI/PP&GR/ORD/CMT/189/10/2023 dated October 31, 2023 has informed about the taskforce on Bancassurance Chanel. IRDAI states that Banks play an important role in distribution of Insurance products. Although, Banks have an option to set up a separate legal entity for distribution of Insurance products, such option is not yet exercised by the Banks.
Despite the large network of Banks, the contribution of Banks as Corporate Agents was only 5.93 percent for non-life premium and 17.44 percent for new business premium for Life Insurance in the year 2022-23. To make Insurance more accessible, the vast Bank Branch network shall be leveraged. In light of the above, it is necessary to review the current Bancassurance intermediation model and carry out modifications to the regulatory framework governing the same.
Therefore, a taskforce is constituted as follows:
Sr. No.
Name
General Designation
Designation in the Taskforce
1.
Smt. Meena Kumari
Executive Director (Life), IRDAI
Chairperson
2.
Smt. Yegna P. Bharat
Chief General Manager (Health), IRDAI
Member
3.
Shri Surya Kumar
Chief General Manager (Supervision), IRDAI
Member
4.
Smt. J. Anita
Chief General Manager (Intermediaries), IRDAI
Member
5.
Shri D.S. Murthy
GM (Non Life), IRDAI
Member
6.
Shri R.K. Sharma
CGM (PP& GR), IRDAl
Member– Convener
Representative of the following Insurers/Corporate Agents:
a.
State Bank of India
Member
b.
HDFC Bank
Member
c.
Punjab National Bank
Member
d.
New India Assurance Company Limited
Member
e.
ICICI Lombard General Insurance Company Limited
Member
f.
Tata AlA Life Insurance Company Limited
Member
g.
HDFC Life Insurance Company Limited
Member
h.
Bajaj Allianz Life Insurance Company Limited
Member
i.
Aditya Birla Health Insurance Company Limited
Member
j.
Cholamandalam MS General Insurance Company Limited
Member
The terms of reference are to:
- Suggest regulatory stipulations on the market conduct requirements of bancassurance partners, especially in view of mis-selling/forced selling complaints being received in this model.
- Study the effectiveness of existing bancassurance model of Insurance intermediation and give suggestions for improving efficiency of the same.
- Examine International best practices and suggest suitable modifications for domestic regulatory requirements.
The taskforce shall submit its recommendations within 2 months from the date of this notification.
Source category: IRDAI
Attachments
- /2023/299_Taskforce_on_Bancassurance.pdf
Comments are closed