Life insurers seek slower regulatory changes

Concerned about the fast pace of regulatory changes being brought into the sector, the life insurance industry has approached sector regulator, Insurance Regulatory and Development Authority (Irda), to go slow in its approach, sources said. In turn, Irda has assured industry players that it will go slow in bringing regulatory changes from next year, a move that will bring some respite to the players, the sources added.

Ever since the controversy over the regulation of Ulips was sorted by the government through an Ordinance in July, later made into an Act this year, Irda has brought about a lot of changes in the life insurance sector. The regulator has also made unit linked products that give customers life cover, along with returns from investment in the capital markets, a long-term product so that it could be distinct from any other investment product.