IRDAI has asked insurance agents to obtain identity cards and appointment letters from their respective insurance companies before June 30, 2015 to carry out insurance agency business.
Last month, IRDAI had ended the licensing system of agents and issued a final guideline on appointment of insurance agents in which it has allowed insurance companies to directly appoint insurance agents. However, the applicants have to pass the insurance examination to become an insurance agent.
Agents will have to pass both the examinations - Insurance Agency Examination and Standalone Health Insurance Exam to sell insurance policies with effect from July 1, 2015. IRDAI has recently introduced a separate examination for agents to sell health insurance.
Currently, agents can obtain identity cards and appointment letters from one life, one non-life and one standalone health insurance companies to solicit insurance policies.
In a guideline issued on the appointment of insurance agents, IRDAI said, “Insurers are permitted to appoint agents in terms of the guidelines on appointment of insurance agents 2015 in the interregnum up to June 30, 2015. Insurers should ensure that the application possesses minimum qualification and training as suggested.”