Irda to develop mechanism for faster approval of policies

The Insurance Regulatory and Development Authority (Irda) will soon develop a mechanism for faster approval of insurance policies and encourage companies to come out with low premium products for increasing insurance penetration, a senior government official said today.

“A roadmap has been agreed upon for faster approval of products,” Financial Services Secretary D K Mittal told reporters here.

The meeting between Finance Minister P Chidambaram and Irda Chairman J Hari Narayan also dealt with issues relating to increasing insurance penetration and augmenting investment flow into the infrastructure sector. Some decisions are expected by today or tomorrow, Mittal added.

“The meeting discussed how to increase insurance penetration, how insurance companies can do more business, how better products can be introduced at lower premium, and how more investments can flow into infrastructure sector,” Mittal said.

 

Insurance companies have been demanding from the Insurance Regulatory and Development Authority faster clearances of products filed with it.

At a meeting with Chidambaram, relaxation in investment norms to help the sector earn more premium was also discussed.