Insurance

The insurance regulator has directed life insurance companies to segregate death claim settlement ratios of individual and group policies.

The insurance regulator is already in the process of creating a database of other insurance intermediaries like brokers, corporate agents and web–aggregators.

The life insurer had filed its draft red herring prospectus (DRHP) with SEBI on August 18, 2017.

While individual agents received Rs.480 crore from health insurance sales, banks received Rs.159 crore last fiscal.

IRDAI has asked insurance companies and intermediaries such as agents and brokers who sell insurance policies online through insurance self-network platforms to issue e-insurance account to their policyholders.

The company has received corporate agency license from IRDAI to distribute insurance policies.

Experts attribute this to induction of new agents, increasing demand of motor and health insurance policies and launch of crop insurance scheme.

Nilesh Sathe, Member (Life), IRDAI asserted that many agents end up getting only 10% of total premium as first year commission instead of 35%.

IRDAI has allowed insurance companies to appoint automobile dealers as intermediaries to distribute motor insurance policies.

Simply put, insurance agents can on board new clients through Aadhaar card.

RBI committee recommends uniformity between first year commission and renewal commission to improve the persistency ratio.

Increase in new business premium and increased persistency ratio have helped the life insurance industry record 19% growth in its AUM.

In fact, the insurance regulator has asked insurance companies to upload data of their corporate agents and brokers on a new platform. In the next phase, IRDAI will ask insurers to put details of their agents.

The company claims that this merger is the first merger of two major non-life insurance companies.

IRDAI Chief TS Vijayan has said that the insurance regulator is not keen on pushing insurance companies to reduce premium amount on direct sales.