Insurance regulator Irdai proposes changes to reinsurance regulations

Seeks to revise order of preference while placing reinsurance business

The insurance regulator has released an exposure draft seeking amendments to reinsurance regulations.

In the draft, the Insurance Regulatory and Development Authority of India (Irdai) has sought to revise the order of preference while placing reinsurance business, among other things, which could prove to be undesirable for state-owned General Insurance Corporation (GIC Re).

“The objective of these regulations is to harmonise the provisions of various regulations applicable to insurers and reinsurers, including foreign reinsurance branches (FRBs), and Lloyd’s to enhance ease of doing business by amending the regulations,” Irdai said in a circular.

Currently, Indian insurers are required to seek