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  • Insurance Use-and-file method for life products may take time

    Use-and-file method for life products may take time

    Use-and-file is a method used to approve insurance products on the basis of a declaration, before they hit the market
    Source:Business Standard Dec 18, 2015

    Use-and-file products make still take time to be implemented for the life insurance sector. While the regulator has allowed such simple products that can sold directly for general insurance sector, this method of getting product approval may take some more time to be implemented for the life segment.

    Here, use-and-file and file-and-use are two methods employed by Insurance Regulatory and Development Authority of India (IRDAI) to approve insurance products before they can hit the market. While the former means that a product can be directly sold in the market by merely giving a declaration of the same to the regulator, the latter involves filing the product with its pricing and structure with IRDAI and it has to be approved before hitting the market for sale.

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