DHFL crisis: Insurers seek Irdai nod to be part of inter-creditor agreement

Insurance companies — exposed to Dewan Housing Finance Corporation’s (DHFL) debt papers — have approached the Insurance Regulatory and Development Authority of India (Irdai) to get a go-head from the regulator for participating in the inter-creditor agreement (ICA) for DHFL, according to people in the know.

Sources say that insurance companies have already held preliminary talks with Irdai on the matter. “The Reserve Bank of India’s June 7 circular doesn’t restrict bondholders from being part of the ICA. Insurance players can be part of the ICA through their debenture trustee, which will act as a financial institution,” said a banking