Irda gives license to 5 insurance repositories

Policyholders have an option to choose to either digitise their policy or to have it in existing format

Five companies have been given the status of insurance repositories by the insurance regulator. Insurance Regulatory and Development Authority (Irda) has given a license which will be valid till July 31, 2014.

The five companies include NSDL Database Management Limited, Central Insurance Repository Limited, CAMS Repository Services Limited, SHCIL Projects Limited and Karvy Insurance Repository Limited.

Irda has recently clarified in its regulation on insurance repositories and said that insurers can enter into agreements with one or more repositories.

The objective of creating an insurance repository is to provide policyholders a facility to keep insurance policies in electronic form and to undertake changes, modifications and revisions in the insurance policy with speed and accuracy in order to bring about efficiency, transparency and cost reduction in the issuance and maintenance of insurance policies.

Policyholders have an option to choose to either digitise their policy or to have it in the existing format.

These repositories are required to maintain records of e-insurance accounts with an unique number, records of e-insurance policies issued and records of e-insurance policies converted back into physical form, index of policyholders and their nominees / assignees / beneficiaries in the respective life insurance policies, among others. Further, they also have to maintain history of claim data.