Page 6 - Latest Updates on IRDAI
FIU-IND, Irdai sign MoU for enhanced anti-money laundering efforts
Laying down procedure and manner in which the regulated entities/reporting entities report to FIU-IND under the PML Rules and conducting outreach and training for regulated entities as per the MoU
 "FIU-IND, Irdai sign MoU for enhanced anti-money laundering efforts")
Suspect a loved one had bought a policy? Search life insurers' websites
Unclaimed amounts often result from outdated customer details, making it difficult for insurers to trace policyholders or their nominees
 "Suspect a loved one had bought a policy? Search life insurers' websites")
Health insurers reject claims worth Rs 15,100 crore in FY24: Irdai
In terms of number of claims settled, 72 per cent were settled through third-party administrator and the balance 28 per cent were settled through in-house mechanism
 "Health insurers reject claims worth Rs 15,100 crore in FY24: Irdai")
Fire, engineering insurance premiums likely to move up by 60% in 2025
In 2024, the country was rocked by multiple natural catastrophes causing major losses to insurers and reinsurers, particularly in Gujarat and Nagpur thus affecting the 'free pricing' of insurance
 "Fire, engineering insurance premiums likely to move up by 60% in 2025")
Health insurers disallowed claims worth Rs 15,100 cr during FY24: Irdai
Of the total Rs 1.17 trillion claims under health insurance of general as well as standalone health insurers, only Rs 83,493.17 crore or 71.29 per cent were paid during the year ending March 2024
 "Health insurers disallowed claims worth Rs 15,100 cr during FY24: Irdai")
Surety bonds vs bank guarantees: A financial shift in project risk-sharing
The surety bonds market in India has the potential to generate billions of dollars in premiums over the coming years
 "Surety bonds vs bank guarantees: A financial shift in project risk-sharing")
Insurance penetration in India dips to 3.7% despite premium growth: Irdai
Total premiums across all insurance categories reached Rs 11.19 trillion in 2023-24 while insurers paid out Rs 7.66 trillion in claim settlements, Irdai said in its annual report
 "Insurance penetration in India dips to 3.7% despite premium growth: Irdai")
Business correspondents meet Irdai, seek consent to sell insurance products
BCRC's stance is that shocks from climate-related issues are affecting those at the bottom of the pyramid in a big way
 "Business correspondents meet Irdai, seek consent to sell insurance products")
Non-life insurers' profit in green in FY24 after 2 straight years of losses
Net profit of life insurance companies rose by 10.79% Y-o-Y in FY24 to Rs 47,407 crore
 "Non-life insurers' profit in green in FY24 after 2 straight years of losses")
Over Rs 20k cr of unclaimed amounts lie with life insurers at end of FY24
Irdai also adopted several measures to reduce existing unclaimed amounts, asking insurers to prompt policyholders to update their contact details at the time of renewal
 "Over Rs 20k cr of unclaimed amounts lie with life insurers at end of FY24")
Banca cap may impact banks' net profit by 1-2%, says IIFL Securities
It could shave off 15-30% of banks' fee income that they earn by selling insurance
 "Banca cap may impact banks' net profit by 1-2%, says IIFL Securities")
Irdai's move to limit banca biz may stifle insurance sector growth: Emkay
Last week, reports suggested that Irdai is likely to bring in regulations to limit the overdependence of life insurance companies on their parent banks for business sources through bank channels
 "Irdai's move to limit banca biz may stifle insurance sector growth: Emkay")
Irdai may limit insurance companies' overdependence on parent banks
Irdai also plans to encourage diversification across multiple distribution channels to ensure balanced growth across the industry
Irdai to introduce norms for more qualified insurance sales personnel
Tripathy said that despite the rapid growth in the insurance industry in recent years, there is a gap in education and upskilling of the industry's employees
 "Irdai to introduce norms for more qualified insurance sales personnel")
Insurers urge IRDAI crackdown against OEM-linked motor insurance brokers
Insurance companies are demanding an open architecture where customers can choose policies from multiple insurers without being limited by OEM brokers
 "Insurers urge IRDAI crackdown against OEM-linked motor insurance brokers")
Star Health drops 5% as Irdai issues show cause notice for violating norms
The fall in insurer's share price came after the company announced that the Insurance Regulatory and Development Authority of India (Irdai) has issued a show cause notice for violating norms
 "Star Health drops 5% as Irdai issues show cause notice for violating norms")
Irdai issues show cause notice to Star Health for violating norms
The company must provide a reply within 21 days from the date of receipt of the notice, along with the supporting documents
 "Irdai issues show cause notice to Star Health for violating norms")
Is insurance selling by BCs the next step in financial inclusion?
The business correspondents' representative body has asked IRDAI to allow them to sell insurance products, particularly weather-indexed schemes to provide a safety net for rural buyers
 "Is insurance selling by BCs the next step in financial inclusion?")
Bima Sugam is a game-changer, says Irdai chairman Debasish Panda
Bima Sugam facilitates easy access to insurance for consumers and enhances distribution opportunities, said Panda
 "Bima Sugam is a game-changer, says Irdai chairman Debasish Panda")
Bima Sugam's capital requirement goes up significantly to Rs 500 crore
During the two-day Bima Manthan held in Hyderabad, insurance companies were informed of the revised capital requirement for Bima Sugam, amounting to Rs 500 crore over 4-5 years