• 15 March, 2023

Insuring India by 2047 - New landscape for Insurance Sector

Insurance Regulatory and Development Authority of India (IRDAI) has committed to enable ‘Insurance for All’ by 2047, where every citizen has an appropriate life, health and property insurance cover and every enterprise is supported by appropriate insurance solutions and also to make Indian insurance sector globally attractive. To attain this objective, efforts are being made towards creating a progressive, supportive, facilitative and a forward looking regulatory architecture to foster a conducive and competitive environment leading to wider choice, accessibility and affordability to policyholders. This reform agenda taken up by IRDAI derives inspiration from the Government of India’s vision of financial inclusion and strong emphasis on accelerating reforms.

The focus of IRDAI is to strengthen the three pillars of the entire insurance ecosystem viz. insurance customers (policyholders), insurance providers (insurers) and insurance distributers (intermediaries) by

 

• Making available right products to right customers;

• Creating robust grievance redressal mechanism;

• Facilitating ease of doing business in the insurance sector;;

• Ensuring the regulatory architecture is aligned with the market dynamics;

• Boosting innovation, competition and distribution efficiencies while mainstreaming technology and moving towards principle based regulatory regime.

 

Towards this objective, amendments to various regulations were proposed and were placed for stakeholder comments. This was followed by a series of discussions and interactions with insurers, intermediaries (including individual agents, corporate agents, brokers, insurance marketing firms,.) and experts. A careful evaluation of comments and suggestions was carried out. The amendments to regulations were also placed before the Insurance Advisory Committee (an advisory committee for consultations formed under the IRDA Act 1999).