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There is a good news for insurance agents and intermediaries. IRDAI has proposed the launch of e-insurance along with e-proposal form through which insurance companies and intermediaries like agents and brokers can sell insurance policies completely paperless.
The e-proposal form has to carry digital signature of the prospect or an authorised electronic signature through Aadhaar OTP. This means, agents and intermediaries will be able to sell life, health and motor insurance policies just by asking their clients to validate their consent through OTP.
In a circular issued today, IRDAI said, “Every insurer soliciting insurance business through electronic mode either directly or through the insurance intermediaries shall have in place an e- proposal form consistent with the physical proposal form, with respect to the product being solicited. E-proposal form shall also include the suitability assessment form, customized benefit illustration, as per the extant provisions applicable.”
The e-proposal form should carry step-by-step in regional, Hindi and English language to make them aware of online services, said IRDAI.
The insurance regulator further said that insurers will have to develop a system through which they can assign unique electronic insurance account (eIA) number. This number can be used by all the insurers so that policyholders need not submit documents multiple times. Also, the proposal form should have a provision to capture the existing eIA number if any, clarified IRDAI.
Insurance can also offer discount on premium for availing e-insurance policies. This facility can be extended to existing policyholders who have bought policies within 12 months from the effective date of these regulations post implementation.
IRDAI has asked all stakeholders to submit their feedback by October 20, 2022.
