You are no longer required to obtain wet signature of clients to sell insurance policies till March 31 2022.
IRDAI has extended the scope of digital signature across all life insurance policies like term insurance, whole life insurance, money back policies, endowment policies and ULIPs. Also, the insurance regulator has asked insurance companies and intermediaries to continue to rely on digital signature till March 31, 2022 to sell policies.
Last week, IRDAI allowed insurance companies and intermediaries to sell motor and health insurance with digital signature till March 31, 2022.
With this, agents can now sell all life and non-life insurance policies without obtaining wet signature of clients till March 31, 2022.
However, IRDAI has clarified that agents can sell ULIPs digitally only if annual premium doesn’t exceed Rs.50,000 and premium under single premium policy doesn’t not exceed Rs.1 lakh. There will be no upper cap on other policies.
Agents and intermediaries will be able to sell term insurance policies just by asking their clients to click on the confirmation link or just validating their consent through OTP.
Life insurance companies and agents will have to ensure that completed proposal form is sent to the prospect on his registered email id or mobile number with a confirmation link. The prospect has to authenticate purchase of the policy through OTP or simply by clicking confirmation link before buying a term plan. Insurance companies can receive payment only if the prospect has given his consent.
In addition, agents and intermediaries will have to declare that they have used approved sales material during solicitation process. Life insurers will have to ensure that they provide such materials to their agents and intermediaries.