The Insurance Regulatory Authority of India (IRDAI) on 3rd August 2022, has notified the IRDAI (Insurance Intermediaries) (Draft Amendment) Regulations, 2022 and has invited objections/suggestions from the public which shall be addressed to to ramasudheer@irdai.gov.in with a copy to nirmalraj.ks@irdai.gov.in within 24th August 2022.
The objective of this amendment is to enable the prospects and policyholders to have wide access in purchasing insurance in the expanding market through various distribution channels and enhancing the reach of insurance to every nook and corner of the country, thereby increase the insurance penetration.
Through this amendment, IRDAI (Registration of Corporate Agents) Regulations, 2015 and IRDAI (Registration of Insurance Marketing Firm) Regulations, 2015 have been reviewed. The key changes proposed to be brought about to these two regulations (through the IRDAI (Insurance Intermediaries) (Amendment) Regulations, 2022 are:
- Increase in the maximum limit of tie-ups with insurers for Corporate Agents from the existing three for each category of insurance to nine for each category of insurance;
- Increase in the maximum limit of tie-ups with insurers for Insurance Marketing Firms from the existing two for each category of insurance to six for each category of insurance;
- Removal of the restriction on Corporate Agent (General) to place commercial lines of products having a total sum insured not exceeding rupees five crores per risk for all insurances combined.
