IRDAI Sets Up Special Panels To Enforce Insurance Law Violations

(MENAFN- KNN India) New Delhi, Jul 16 (KNN) The Insurance Regulatory and Development Authority of India (IRDAI) has established specialised panels comprising its whole-time members to adjudicate violations by insurance companies and intermediaries.

The decision was announced following the Authority's meeting held on July 14 at its headquarters.

The formation of these panels represents a strengthening of IRDAI's enforcement capabilities, specifically targeting violations of the Insurance Act and related regulations.

This development comes at a time when the insurance sector faces increased scrutiny over mis-selling practices and concerns regarding claim settlement procedures.

The regulatory action follows reports indicating that government authorities are seeking to intensify measures against mis-selling in the insurance sector.

Several insurers have reportedly come under regulatory examination, with mounting complaints related to claim settlement practices drawing attention from supervisory bodies.

In addition to the enforcement panels, IRDAI has constituted a separate panel of whole-time members to evaluate specific share transfer applications within the insurance sector.

This move is expected to streamline the approval process for ownership changes in insurance entities.

The Authority also approved several clarifications and modifications to existing regulations during the meeting.

These changes, implemented from an ease of doing business perspective, affect regulations governing the maintenance and sharing of information within the insurance sector.

Furthermore, the regulator approved updates to the revised guidelines concerning insurance repositories and the electronic issuance of insurance policies.

These modifications are intended to enhance operational efficiency and align with digital transformation initiatives in the insurance industry.

(KNN Bureau)

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