The Insurance Regulatory and Development Authority of India (IRDAI) celebrated its 25th Anniversary.
Insurance Regulatory and Development Authority of India (IRDAI)
Genesis
- Formed based on Malhotra Committee recommendations
- Constituted as an autonomous body in 1999 and incorporated as a statutory body in 2000, under the Insurance Regulatory and Development Authority Act, 1999
Objectives
- Speedy and orderly growth of insurance industry
- Speedy settlement of genuine claims
- Effective grievance redressal mechanism, etc.
- Focus of IRDAI is to strengthen the three pillars of the entire insurance ecosystem:
- Insurance customers
- Insurance providers
- Insurance distributors
Ministry
Ministry of Finance
Composition
IRDAI is a 10-member body:
- 1 Chairman
- 5 Full-time members
- 4 Part-time members
Role of IRDAI
- Issue to the applicant a certificate of registration, renew, modify, withdraw, suspend or cancel such registration
- Protect the interest of the policyholders
- Adjudication of disputes between insurers and intermediaries or insurance intermediaries
- Promoting efficiency in the conduct of insurance business and regulating professional organizations connected with the insurance and reinsurance business
Domestic Systemically Important Insurers (D-SIIs)
- Insurance Regulatory and Development Authority of India (IRDAI) releases 2023-24 – List of D-SIIs.
- Life Insurance Corporation of India (LIC), General Insurance Corporation of India (GIC Re) and New India Assurance Company continue to be identified as D-SIIs.
- D-SIIs refer to insurers of such size, market importance, and domestic and global inter connectedness, whose distress or failure would cause a significant dislocation in the domestic financial system.
- D-SIIs are perceived as ‘too big or too important to fail’ (TBTF).
- D-SIIs are subject to additional regulatory measures.