Max India today said Max Life and HDFC Life remain committed to merger and are evaluating various options after the insurance regulator IRDAI again expressed reservations on the deal.
In November last year, IRDAI had posed reservations on the present form of amalgamation of Max Life and HDFC Life into a single entity to comply with Section 35 of the Insurance Act, 1938.
Section 35 of the Insurance Act, 1938 does not allow merger of an insurance firm with a non—insurance firm.
“Further to the representations made to the Insurance Regulatory & Development Authority of India (Irdai), the Authority on June 7 reaffirmed its original position regarding section 35 of the Insurance Act, 1938,” Max India said in a regulatory filing.
