Insurance brokers can now act as claim consultants for their clients. In its draft norms on insurance brokers, Insurance Regulatory and Development Authority of India (IRDAI) said that brokers can offer limited consultancy services for claims up to Rs 10 crore.
However, IRDAI has said that such claims cannot emanate from a policy, which has been placed by the same insurance broker or, for that matter, any other insurance broker. This would help avoid adverse practices affecting competition. Only claims on policies sold by banks or insurers can be taken up by brokers for purposes of consultancy.
