IRDA amends Insurance Surveyors & Loss Assessors Regulations

NOTIFICATION NO. IRDA/REG./18/76/2013, DATED 13-3-2013

In exercise of the powers conferred by sections 42D, 64UM and 114A of the Insurance Act, 1938 (4 of 1938) read with sections 14 and 26 of the Insurance Regulatory and Development Authority Act, 1999 (41 of 1999), the Authority, in consultation with the Insurance Advisory Committee, hereby makes the following regulations, to further amend the Insurance Surveyors and Loss Assessors (Licensing, Professional Requirements and Code of Conduct) Regulations, 2000, namely:-

1. (i) These regulations may be called the Insurance Surveyors and Loss Assessors (Licensing, Professional Requirements and Code of Conduct) (Amendment) Regulations, 2013

(ii) They shall come into force on the date of their publication in the Official Gazette.

2. Definitions:

(i) In Regulation 2, the following new clauses shall be inserted:

(ca) Associate member: Any Licentiate Member holding valid Surveyor and Loss Assessor license continuously for a period not less than 8 years and upon fulfilment of other criteria set out in Regulation 14A(1)(ii).

(cb) Corporate surveyor means company incorporated under Companies Act, 1956 or Firm formed under Partnership Act, 1932, including LLP (Limited Liability Partnership) incorporated under LLP Act, 2008, licensed to act as Surveyor and Loss Assessor.

(da) Fellow Member:

Any Associate Member holding valid Surveyor and Loss Assessor license continuously for a period not less than 8 years and fulfils other criteria set out in Regulation 14A(1)(ii).

(ea) “Institute”- means the Indian Institute of Insurance Surveyors and Loss Assessors (IIISLA) promoted by IRDA under section 14 of IRDA Act, 1999 and incorporated under section 25 of the Companies Act, 1956.

(fa) Licentiate Member: Any person holding a valid license issued by the Authority to act as surveyor and loss assessor, and fulfils other criteria set out in Regulation 14A(1)(ii).

(fb) “Member” means the member of the Institute and includes Student member, Licentiate member. Associate member and Fellow member.

(fc) “Surveyor and Loss Assessor” – means a person who is a member of the Institute and licensed by the Authority to act as Surveyor and Loss Assessor.

(fd) “Student Member” means any person who is member of institute and enrolls himself as trainee with IRDA for seeking practical training to obtain a license to act as Surveyor and Loss Assessor.

(fe) Membership level of a surveyor means level allotted by the institute to the member, based on the criteria set out in Regulation 14A of these Regulations.

3. LICENSING PROCEDURE

(i) Regulation 3, is substituted by the following:

(1) Every person who is a student member of the Institute and intending to act as a surveyor and loss assessor in respect of general insurance business shall apply to the Authority for grant of license in Form-IRDA-1-AF as given in the Schedule to these regulations.

(2) The Authority while considering the application made under sub-regulation (1) for grant of license as a SLA, take into consideration all matters relating to the duties, responsibilities and functions of surveyor and loss assessor and satisfy itself that the applicant is a fit and proper person to be granted a license. In particular and without prejudice to the foregoing, the Authority shall satisfy itself that the applicant, satisfy all the requirements of section 64 UM, read with section 42 D of the Act and rule 56 A of Insurance Rules, 1939 and fulfils the eligibility criteria set out in Regulation 3A of these Regulations.

a. The applicant shall pay fees applicable to the Licentiate level of membership, through online net banking/RTGS/NEFT/Demand Draft

(in favour of IRDA payable at Hyderabad) and furnish evidence of payment.

b. Documents to be enclosed (can be submitted online followed by hard copy):

(a) Application in Form- IRDA- 1AF duly completed in all respects.

(b) Copy of Membership certificate issued by the Institute, indicating Student Membership No. Date of Issue etc.

(c) Copy of recent photo-1

(d) Copy of PAN

(e) Copy of Proof of residence

(f) Proof of qualification

(g) Copy of Training completion certificate

(h) Copy of quarterly reports(4 quarters)

(i) Copy of mark sheet in proof of having passed the Surveyor examination as provided under Regulation 16 of these Regulations.

(j) No Objection Certificate from employer, if employed

(k) Affidavit as stated under sl. no. 3 of Form – IRDA-1AF (to be uploaded in soft form at the time of submission of application through online)

(l) Self-addressed envelope of 4.5″x10″ with Rs. 40 postage stamp

(m) Demand draft, in case fee is paid by DD

(n) Details of fee payment by RTGS/NEFT, if paid through RTGS/NEFT

(o) Any other document/information that may be required by the Authority from time to time (Copies of documents sl. no. c to j shall be notarized)

c. Disclosures:

(i) Submit a declaration that he/she shall file with the Authority, any changes in the information submitted to the Authority within 15 days of such change and apply in the Form – IRDA-17 AF as given in Schedule to these Regulations, for grant of modified license. The license issued by the Authority (in original) shall be surrendered at the time of application for grant of modified license.

(ii) submits such other information as may be required by the Authority from time to time

(3) The Authority on being satisfied that the applicant is eligible for grant of licence, shall grant the same in FORM-IRDA-2-LF as given in the Schedule to these Regulations, mentioning the level of membership granted by the institute, particular class/department or subject of general insurance business namely, fire, marine cargo, marine hull, engineering, motor, miscellaneous. Crop Insurance and loss of profit allotted based on their technical/professional/insurance qualification and other qualifications as specified under Regulation 3(2) of IRDA Surveyor Regulations

3A Eligibility Criteria

(i) Qualifications (one or more of the following):

(a) Qualifications stated under Section 64VM, read with Section 42 D of the Insurance Act, 1938,

(b) Additional technical qualifications as stated under Rule 56 A of Insurance Rules, 1939

(c) Post Graduate Diploma in General Insurance from I.I.R.M.

(d) B.Sc in Agricultural Science from a recognized university

(e) Additional technical qualification as may be specified by the Authority from time to time.

(f) Shall be a “Student/Member ” of the Institute.

(ii) Training:

(a) Practical training for a period not less than twelve months as specified in Regulation 16 (1)

(b) Such other training which the authority may specify from time to time.

Explanation: Any person who has undergone the requisite training for obtaining a license to act as surveyor and loss assessor, as stated under (ii) (a) above may undergo such other training as may be specified by the Authority.

(iii) Examination:

Passing of relevant paper/s of Surveyor Examination conducted by Insurance Institute of India or the Institute authorised by IRDA.

Explanation: Any person who has successfully completed the examination for obtaining a license to act as surveyor and loss assessor, need not undertake such examination as stated under (iii) above at any point of time.

3B. Allotment of department/area of work at the time of grant of license to act as Surveyor and loss assessor shall be as specified by IRDA from time to time

(4) A surveyor and loss assessor, whose licence has been cancelled or suspended for any reason, may submit an application for issuance of licence, after the expiry of three years from the date of such cancellation or suspension, and, such an application shall be treated as a fresh case, and, accordingly, the applicant shall satisfy all the requirements of sub-regulation (2).

(5) A surveyor and loss assessor shall be subject to level of membership in the Institute as specified in Chapter V of these regulations

(6) A license issued before the commencement of these regulations, by IRDA shall be deemed to have been issued in accordance with these regulations.

(ii) Regulation 4, is substituted by the following:

(1) Application for grant of fresh corporate license and related matters

(i) Where the applicant is an applicant for corporate surveyor, the Authority shall satisfy itself that the applicant shall submit the application complete in all respects, satisfy all the applicable requirements of section 64UM, read with section 42D of the Act and rule 56A of the Insurance Rules, 1939 and shall conform mutatis mutandis to the eligibility criteria set out in Regulation 3 A of these Regulations.

Provided that none of the directors or partners suffers from any of the disqualifications mentioned in section 42 D of the Insurance Act, 1938 read with section 42(4) of the Act.

(ii) There shall be at least two directors/partners in the company/firm at any point of time who are members of the institute and are licensed to act as surveyor and loss assessor. The department and level of membership of the director/partner under their individual surveyor license shall become the department and level of membership of the Company/firm. Any licensed surveyor and loss assessor appointed as director/partner of a firm/company seeking application for grant of corporate license, shall undertake survey jobs and issue survey reports only in the capacity of director/partner of the applicant company/firm.

(iii) Licensed surveyors who are working as employees of the company/firm shall undertake survey jobs only of that company/firm with whom he/she is employed with. The employee shall undertake survey jobs only in those department and level of membership allotted to him/her wider his/her individual license.

(iv) Upon grant of corporate license, the company/firm can undertake survey jobs only in those department and level of membership displayed against each of the director/partner in the corporate license issued by the Authority.

(v) None of the directors or partners of one corporate surveyor shall be appointed as director or partner in another corporate surveyor.

(vi) The main object of the company/firm shall be to carry out insurance survey and loss assessment and name of the company or firm shall include the words “Insurance Surveyors and Loss Assessors”

(vii) the aggregate holdings of equity shares held by a foreign company shall be disclosed at the time of making the application for grant of license, which shall not at any time, exceed 26% of the paid up equity capital of the applicant or such other percentage as may be specified by the Authority”. The manner of calculation of 26% FDI shall be identical to the one specified for Indian Insurance Companies.

(viii) Ensure that the same promoter/subscriber of the applicant does not have more than one corporate surveyor license. “Promoter/Subscriber” shall be as defined in the “Companies Act, 1956”.

(ix) Shall pay fees based on the highest level of membership of any of the directors/partners as provided under Regulation 5, through online net banking/RTGS/NEFT/Demand Draft (in favour of IRDA payable at Hyderabad) and furnish evidence of payment.

(x) Documents to be enclosed (can be submitted online followed by hard copy) :

(a) Application in Form- IRDA- 3AF duly completed in all respects.

(b) Copy of Membership certificate issued by the Institute to the directors/partners, indicating Membership No., Date of Issue etc.

(c) Copy of one recent photo of directors/partners

(d) Copy of Surveyor license of directors/partners

(e) Copy of certificate of incorporation issued by ROC in case of company

(f) Copy of Partnership deed in case of a firm duly signed by all the partners

(g) Copy of Memorandum and Articles of association of the company

(h) Copy of Form no. 32 filed with ROC

(i) Copy of Form no. 18 filed with ROC

(j) Copy of Form 4 filed with ROC

(k) Copy of TAN

(l) Proof of qualification of directors/partners

(m) Affidavit as stated in FORM- IRDA-3AF (to be submitted in soft form at the time of submission of application through online)

(n) Self addressed envelope of 4.5″x10″ with Rs. 40 postage stamp

(o) Demand draft, in case fee is paid by DD

(p) Details of fee payment by RTGS/NEFT, if paid through RTGS/NEFT

(q) Any other document/information that may be required by the Authority from time to time (Copies of documents sl. no. d to m shall be notorised)

(xi) Disclosures:

(a) Submit a declaration that prior to joining corporate firm, the individual surveyors shall complete all jobs entrusted to them completed within the timelines provided under Regulation 9 of PPI Regulations, and that upon grant of corporate license, such surveyors, shall henceforth work only under the corporate license.

(b) Such other additional requirements as may be specified by the Authority from time to time.

(c) Submit a declaration that they shall submit information about resignation/death/suspension of director/partner, change in share holding pattern and such other material changes to the Authority and apply in FORM-IRDA- 18AF as given in the Schedule to these regulations within 15 days of such change for grant of modified license. The license issued by the Authority (in original) shall be surrendered at the time of application for grant of modified license.

(d) Submit details of those members who hold license to act as surveyor and are employed in the registered office and branch office/s of the firm/company to conduct survey jobs on behalf of the company/firm

(xii) The applicant referred to in regulation 4(1) shall apply in FORM-IRDA-3-AF as given in the Schedule to these Regulations.

The Authority on being satisfied that the applicant is eligible for grant of license, shall grant the same in Form IRDA-4-LF as given in the Schedule to these Regulations, indicating the department and membership level of the corporate surveyor. Such membership level shall be the highest level at which the corporate surveyor can function.

(iii) Regulation 5, is substituted by the following:

The fee payable to the Authority by fresh applicants for grant of licence to act as surveyors and loss assessors, membership level wise, shall be as stated in the following table:

S. no.	Membership level Surveyor & Loss Assessor in the Institute	Amount Payable by Individuals including sole proprietor (Rs.)	Amount payable by Corporate surveyor and loss assessor (Rs.)
1	Fellowship	10000/-	25000/-
2	Associate	7500/-	20000/-
3	Licentiate	5000/-	15000/-

• In case of Corporate Surveyor as stated under Regulation 4(1) above, the fee payable shall be the fee applicable to the highest level of membership of any of its Director/Partner,

• Whenever there is difference in the Membership Level of Corporate Surveyor (lower to higher), the difference in fee shall be payable to the Authority by the Corporate Surveyor.

• Grant of license is subject to fulfilment of requirements stated under Regulations 3 and 4 of IRDA Surveyor Regulations, 2000 as amended from time to time.

• Payment of fees through online payment -net banking in Surveyor licensing portal considered as one of the modes of payment.

(iv) Regulation 7 is substituted by the following:

(1) An application for renewal of surveyor license including online submission of application for renewal, shall reach the Authority at least thirty days before the expiry of the period of validity thereof,

(a) in Form – IRDA-5-AF(for individuals)

(b) in Form – IRDA-6-AF (for corporate surveyors) as given in the Schedule to these regulations, along with a renewal fee of two hundred rupees.

Provided that the Authority may, if it is satisfied that undue hardship would be caused otherwise, accept any application, within six months of its expiry on payment by the applicant of a penalty of seven hundred and fifty rupees.

Provided further that a licence not so renewed ceases to exist. However an application from such surveyor can be treated as fresh application and processed under Regulation 3, and such applicant shall be allotted Licentiate level of membership in the license issued by the Authority.

(2) The Authority may renew the license upon being satisfied that the applicant has complied with all the requirements as may be specified by the Authority from time to time, particularly those specified in Chapter II of the Regulations Documents to be submitted (to be uploaded in soft form in the online licensing portal)

I. In case of Individual:

(a) Application in Form- IRDA- SAF duly completed in all respects.

(b) Copy of recent photo- 1

(c) Copy of PAN

(d) Copy of Proof of residence

(e) Proof of qualification

(f) No Objection Certificate from employer, if employed

(g) Work performance in Form -IRDA-12 (to be uploaded in soft form for previous 5 financial years)

(h) Affidavit as stated in Form- IRDA-1AF (to be uploaded in soft form at the time of submission of application through online)

(i) Copy of membership certificate issued by the institute.

(j) Self-addressed envelope of 4.5″x10″with Rs.40 postage stamp

(k) Demand draft, in case fee is paid by DD

(l) Details of fee payment by RTGS/NEFT, if paid through RTGS/NEFT

(m) Any other document/information that may be required by the Authority from time to time (Copies of documents sl. no. c to i shall be notarized)

II. In case of corporate surveyors:

(a) Application in Form- IRDA- 6AF duly completed in all respects.

(b) Copy of one recent photo of directors/partners

(c) Copy of Surveyor license of directors/partners and their institute’s membership details

(d) Copy of certificate of incorporation issued by ROC in case of company

(e) Copy of Partnership deed in case of a firm duly signed by all the partners

(f) Copy of Memorandum and Articles of association of the company

(g) Copy of Form no. 32 filed with ROC

(h) Copy of Form no. 18 filed with ROC

(i) Copy of Form 4 filed with ROC

(j) Copy of TAN

(k) Proof of qualification of directors/partners

(l) Affidavit as stated in FORM-IRDA-SAF (to be uploaded in soft form at the time of submission of application through online)

(m) Self-addressed envelope of 4.5 “x10” with Rs. 40 postage stamp

(n) Work Performance of the company/firm (to be uploaded in soft form for previous 5 financial years)

(o) Demand draft, in case fee is paid by DD

(p) Details of fee payment by RTGS/NEFT, if paid through RTGS/NEFT

(q) Any other document/information that may be required by the Authority from time to time (Copies of documents sl. no. c to l shall be notarised)

(3) The Authority on being satisfied that the applicant is eligible for renewal of license, shall renew the same

(a) in Form -IRDA- 7-LF in case of individuals including sole proprietor

(b) in Form -IRDA-8-LF in case of corporate surveyor in the format given in the schedule to these regulations. A license so renewed shall be valid for five years from the date of renewal, unless cancelled earlier.

(4) The application for renewal of license shall be processed taking into account the eligibility criteria, existing, including those set out under Regulation 3A, at the time of receipt of such application.

(v) Regulation 8 is substituted by the following:

Procedure where application for grant of license is rejected:

(1) the application for grant of license can be rejected on the following grounds:

(a) does not conform with or the applicant fails to comply with the provisions of the Act and these Regulations.

(b) if the Authority is of the opinion that the grant of license is not in the interest of the policy holders.

Provided that before rejecting any such application, the applicant shall be given a reasonable opportunity of being heard.

(2) Where the application for grant of license is rejected a refund of not more than 60% of the fee received shall be made to the applicant.

(3) The rejection of application as stated under (1) above, shall be communicated to the applicant within thirty days of such rejection, stating the grounds for rejection thereof.

Procedure where application for renewal of license is refused:

(1) the Authority may refuse the application for renewal of license to a surveyor and loss assessor on any of the following grounds, if the applicant:

(i) makes a statement which is false in material particulars with regard to the eligibility for obtaining license

(ii) if the applicant suffers from any of the disqualifications provided under sub-section (4) of section 42 of the Act, read with clause D of sub-section (1) of section 64UM of the Act.

Provided that the Authority shall give a reasonable opportunity, to the person concerned, of being heard, before such refusal.

(2) The refusal of license referred to in sub-regulation (4) shall take effect from the date of such refusal and no surveyor and loss assessor shall carry out any survey and loss assessment work thereafter, including the jobs on hand. All such pending jobs shall be returned by him/it to the insurer or the insured, as the case may be.

(3) A surveyor whose application for renewal of license is refused for any reason, may submit an application for issuance of license, after the expiry of three years from the date of such refusal, and, such an application shall be treated as an application for grant of fresh license, and accordingly the applicant shall satisfy all the requirements stated under Regulation 3 or Regulation 4 as the case may be.

(vi) Regulation 9 is shifted and inserted as Regulation 20A, 20B & 20C.

4. CONSTITUTION AND FUNCTIONS OF SVRVEYORS AND LOSS ASSESSORS COMMITTEE

(i) Regulation 11(2)(iii) is substituted by the following:

one representative of Insurers from Public sector and a representative of insurer from Private sector

(ii) New Regulation 124 inserted as follows:

Appointment of Surveyors and Loss Assessors

(1) No person or a firm or a company shall act as a surveyor and loss assessor without being licensed under Regulation 3 or Regulation 4 of the IRDA Surveyor Regulations as the case may be.

(2) Surveyors and loss assessors shall be appointed either by insurers or insured to assess loss under a policy of insurance in respect of general insurance business; above rupees twenty thousand.

(3) Such appointment of a surveyor for assessment of loss shall be made within 72 hours from the time the occurrence of loss was known to the insured. Notice of such appointment shall be sent in writing to the insurer or insured as the case may be and shall form part of the claims settlement process.

(4) A surveyor and loss assessor shall assess losses of only those departments specified in his/her or its license.

(5) In case of any dispute/dissatisfaction, in the assessment of loss by surveyor appointed by the insurer, the insured can record his dissatisfaction, and then may appoint the appropriate surveyor to assess the loss reported under a policy of general insurance, in which case the fee shall be paid by the Insured.

(6) Dispute, if any, between the insurer and insured, in quantum of loss assessed may be referred to Arbitration.

5. DUTIES AND RESPONSIBILITIES OF A SURVEYOR AND LOSS ASSESSOR

(i) Sub-Regulation 3 of Regulation 13 is substituted by the following:

“A surveyor or loss assessor whether appointed by insurer or insured, shall submit his report to the insurer as expeditiously as possible, but not later than 30 days of his appointment, with a copy of the report to the insured giving his comments on the insured’s consent or otherwise on the assessment of loss. Where, in special circumstances of the case, either due to its special and complicated nature, the surveyor shall under intimation to the insured, seek an extension, in any case not exceeding six months from the insurer for submission of his report.

If an insurer, on the receipt of a survey report, finds that it is incomplete in any respect, he shall require the surveyor under intimation to the insured, to furnish an additional report on such incomplete issues as may be required by the insurer. Such a request may be made by the insurer within 15 days of the receipt of the original survey report.

Provided that the facility of calling for an additional report by the insurer shall not be resorted to more than once in the case of a claim.

The surveyor on receipt of this communication shall furnish an additional report within three weeks of the date of receipt of communication from the insurer”.

6. CATEGORISATION OF SURVEYORS

(i) Regulations 14 is substituted by the following:

A surveyor and loss assessor shall be categorized on the basis of level of membership allotted by the Institute as stated under Regulation 14. Accordingly licensed surveyor and loss assessor shall be allotted membership by the Institute. The three levels of membership in the Institute viz. Licentiate, Associate and Fellow, as defined in the Articles of the Institute.

a. Every surveyor and loss assessor, whether a company or firm or an individual, shall be eligible to carry on the work as a surveyor or loss assessor, as per the level of membership allotted by the institute and specified in the licence.

(ii) After Regulation 14, a new Regulation 14(A) inserted and is as follows:

Functions of the Institute

(1) The Institute shall grant appropriate membership to person eligible, within 15 days from the date of receipt of application for membership, for grant of a valid license to be issued by the Authority to act as a surveyor and loss assessor based on the following criteria, including any other criteria as may be specified by the Authority from time to time:

(i) Membership

Licentiate Member: Any person holding a valid license issued by an Authority to act as surveyor and loss assessor, and fulfils other criteria set out in Regulation 14A(1)(ii).

Associate member: Any Licentiate Member holding valid license continuously for a period not less than 8 years and fulfils other criteria set out in Regulation 14A(1)(ii).

Fellow Member: Any Associate Member holding valid license continuously for a period not less than 8 years and fulfils other criteria set out in Regulation 14 A(1) (ii)

(ii) Training, examination, seminars and workshops:

a. The institute shall conduct training, examination, seminars and workshops to all the members and every member, in order to upgrade his/her level of membership, shall undergo such training, examinations, seminars and workshops as specified below:

b. In addition to the period of practical training that an application seeking a license to act as a surveyor and loss assessor is required to undergo training as prescribed in Regulation 16, the Institute shall provide and every member shall undergo, such training commensurate to their level of membership, for the minimum period as specified below:

Licentiate – 100 hrs

Associate – 50 hrs

Fellow – 25 hrs

c. The Institute or any other institution authorized by the Authority, shall conduct seminars and workshop and every member shall attend a minimum number of such seminars and workshops as specified below:

Licentiate – 5

Associate – 8

Fellow – 10

Provided further that all existing licensed surveyors and loss assessors shall become the members of the institute within 6 months from the date of these regulations and apply to IRDA for grant of modified license indicating the level of membership to be allotted by the institute :

Provided further that such members shall be required to comply with the requirements on training, evaluation, seminars and workshops for upgrading their existing levels of membership within the time limit as may be prescribed by the Authority from time to time.

(2) The Authority may from time to time issue such guidelines, directions or such other communication for the efficient conduct of the affairs of the institute.

7. CODE OF CONDUCT

(i) Sub-Regulation (11) of Regulation 15 substituted as under:

maintain a register of survey work, containing the relevant information, such as, details of insured, insurer, policy number, date of allocation of survey work, date of submission of survey report, amount of claims assessed, such fee details and shall keep important records of the survey reports, photographs and other important documents for a period of three years and furnish the same and such other specified returns, as and when called for by the Authority or by any investigating authority or the insurer. However, in case of litigation involving above information/records/documents/photographs etc., the same shall be maintained till the conclusion of the litigation.

(i) New Sub-regulation nos. (15), (16), (17) & (18) inserted under Regulation 15 as follows:

Every surveyor and loss assessor shall-

• Comply with all the provisions of the Act, the IRDA Act, the rules and regulations made thereunder and the orders, directions and guidelines issued by the Authority from time to time.

• Shall undertake survey jobs in a company /firm only as an employee/director/partner.

• Neither act as a consultant of the Insured nor involve in settlement of loss, particularly those losses which are being assessed by him as an appointed surveyor

• Comply with the provisions of AOA, regulations and Code of Ethics framed by the Institute from time to time.

8. Chapter VII-Practical Training renamed as “TRAINEE APPLICANTS”

(i) Regulation 16 is substituted by the following:

Trainee Applicants

16 (1) A student member seeking a license to act as a surveyor and loss assessor shall apply and enroll with Authority as Trainee in FORM-IRDA-13 as given in the Schedule to these regulations, after having obtained the willingness to impart training from his trainer in FORM-IRDA-14 as given in the schedule to these regulations, and shall undergo a period of practical training of not less than twelve months with a licensed surveyor and loss assessor as specified below:

(1A) During the period of training, every applicant who is a student member of the Institute and enrolled as trainee shall comply with the code of conduct and code of ethics prescribed by the Institute and duly approved by IRDA and shall have include the following:

(i) Behave ethically and with integrity. Integrity implies not merely honesty but fair dealings and truthfulness.

(ii) Not accept/perform/undertake/any survey works and not issue any survey report without holding a valid license issued by the Authority to act as surveyor and loss assessor

(iii) Maintain at all times, proper record of training details duly certified by the trainer surveyor, and

(iv) Disclose all information relating to any proceedings initiated or investigation pending or carried out/against him/her or it by any agency and details of the results thereof

(v) File within 15 days, any change in information already submitted to the authority

(vi) Any other requirement that may be specified by the Institute from time to time.

(2) The surveyor under whom an trainee will be trained shall belong to Associate or Fellow member of the Institute

(3) The trainee shall maintain a quarterly record of training received in FORM-IRDA-15 during the period and shall get it certified by the surveyor and loss assessor under whom he has trained and the certificate in FORM-IRDA-16 shall be attached to the application for seeking grant of a license under regulation 3;

(3)A. The requirement to undergo practical training for a period not less than 12 months as stated under Regulation 16(1) shall not be applicable to those student members who have over 15 years of experience in areas relating to risk management and settlement of claims in relevant field in General Insurance Industry.

The licence to be granted to an applicant to act as a surveyor and loss assessor shall be in that particular area for which he has been trained;

(4) If a surveyor and loss assessor already licensed by the Authority seeks to obtain a similar licence for acting as a surveyor in a category other than for which he is licensed, he shall undergo a period of training not less than six months under a surveyor and loss assessor holding either a Fellow or Associate member licence issued by the Authority to act in that particular area.

(5) Those who have already enrolled as trainees with IRDA shall become the student member of the Institute in addition to complying with the criteria set out in Regulation 3 for grant of license to act as surveyor and loss assessor.

(ii) In Regulation 17 the word “Authority” shall be replaced by “Institute” after the words “the examination may be conducted either by the…”. The regulation shall read as under:

The Authority may also prescribe the passing by an applicant of an examination on the successful completion of the training prescribed above for the grant of a license under Regulation 3. The examination may be conducted either by the Institute or by an institution authorized by IRDA.

9. MISCELLANEOUS

Register of Licensed Insurance Surveyors and Loss Assessors

(i) In Sub-regulation (1) of Regulation 18 the word “Authority” shall be replaced by “Institute”

(ii) In sub-regulation (1)(vi) of regulation 18 the word “Categorization” shall be replaced by “Level of Membership in the Institute”

(iii) In sub-regulation (3) of regulation 18 the word “shall” be replaced by “may”. The regulation shall read as under:

The Authority may cause the publication of the relevant particulars entered in the register, as may be considered appropriate by it, at such intervals and in such manner, as may be deemed fit.

Submission of returns by Surveyor and Loss Assessor -.

(ii) Regulation 19 substituted as under:

Every licensed surveyor and loss assessor shall:-

(a) furnish such of the document, statement, account, return or report, as and when required by the Authority, and comply with such directions, as may be issued by the Authority in this behalf, from time to time; and

(b) submit an annual statement in FORM-IRDA-12 given in the Schedule to these regulations,

(c) Every insurer shall submit to the Authority the following:

(i) Quarterly report on misconduct of licensed surveyors, including, action, if any taken, on the employee surveyors under the employment rules..

(ii) File with the Authority, annually, a copy of the policy formulated by the company, on the methodology followed for appointment of surveyors, utilization of surveyors and allotment of survey jobs to licensed surveyors.

(iii) File with Authority, changes if any made in the policy submitted as stated under (d), within 15 days of such change with reasons thereof.

(iii) Inspection

Sub-regulation (3) of Regulation 20 is being substituted as follows:

A surveyor and loss assessor shall provide the information demanded by the inspecting authority for the purpose of carrying out inspection/investigation and extend all possible co-operations to facilitate the conduct of its work.

(iv) Action in case of Default – Suspension of License

Regulation 9 on Suspension of License shifted and substituted as 20A as follows:

(1) The Authority shall suspend a license already granted, to a surveyor and loss assessor (individual/corporate), if he/it:

i. Fails to discharge the duties and responsibilities in a satisfactory and professional manner; or

ii. Violates the code of conduct specified in these regulations or

iii. Makes a statement which is false in material particulars with regard to eligibility for obtaining license or renewal thereof or in any of the activities transacted by him or them or the matters connected therewith as a surveyor and loss assessor or has after the issue or renewal of such license, acquired any of the disqualifications provided under sub-section (4) of section 42 of the Act, read with section 42(4) of the Act.

iv. Has contravened any of the provisions of the Act, or IRDA Act, 1999, or any rules or regulations made under those Acts, or any order or direction issued by the Authority

v. Has been negligent in discharge of his obligations

vi. Has been sentenced to a term of imprisonment by any court of law :

Provided that the Authority shall give a reasonable opportunity to the person concerned, of being heard before such suspension.

(2) The Authority may also suspend the license if it is of the opinion that the continuation of such license would be prejudicial to the interest of the policy holders, in which case the opportunity of personal hearing may not be provided

(3) The Authority may in addition to cancellation of the individual license of director/partner of corporate surveyor may also suspend the license of a corporate surveyor for any act committed as stated under 1 and 2 above, if the same is committed by any one of its partner/director.

(4) The suspension of license shall be for such period as may be indicated in the order and shall take effect from the date of the order of suspension until revoked.

(5) During the period of suspension, the holder of such a license shall not carry out any survey and loss assessment work including the jobs on hand and shall return all such pending jobs to the insurer or the insured, as the case may be.

(6) A surveyor whose license has been suspended for any reason, may submit an application for issuance of license, after the expiry of three years from the date of such cancellation, and such on application shall be treated as an application for grant of fresh license, and accordingly the applicant shall satisfy all the requirements stated under Regulation 3 or Regulation 4 as the case may be.

Cancellation of license

(v) A New Regulation 20B inserted as follows:

1. Where it is found that a surveyor and loss assessor suffers from any of the disqualifications mentioned in section 42D read with section 42(4) of the Act or has knowingly contravened any provisions of the Act or the IRDA Act, 1999, or the rules of regulations made under those Acts or any order of directions or instruction issued by the Authority, the Authority may, cancel his license, with effect from such date as may be specified by it :

Provided that the Authority shall give a reasonable opportunity to the person concerned, of being heard, before cancellation :

Provided further that the powers conferred on the Authority in this sub-regulation are without prejudice to the powers conferred on it by sub-section (7) of section 64UM of the Act.

2. The Authority may also cancel the license if it is of the opinion that the continuation of such license would be prejudicial to the interest of the policyholders.

3. A surveyor whose license has been cancelled for any reason, may submit an application for issuance of license, after the expiry of three years from the date of such cancellation, and, such an application shall be treated as an application for grant of fresh license, and accordingly the applicant shall satisfy all the requirements stated under Regulation 3 or Regulation 4 as the case may be.

Procedure for suspension and cancellation of license

(vi) A New regulation as 20C inserted as follows:

1. A licensed surveyor and loss assessor whose license is proposed to be suspended or cancelled by the Authority may be granted an opportunity of hearing before suspending or cancelling the license :

Provided that the Authority may not follow this procedure if the continued employment of the licensed surveyor and loss assessor is considered to be prejudicial to the interest of policyholders.

2. Upon receipt of the order of suspension, the licensed surveyor and loss assessor may file a representation before the Authority for revocation of suspension. The Authority may designate an officer, who upon considering the representation shall, pass such an order or orders as he/she deems fit which shall be communicated to the suspended surveyor, and loss assessor.

3. If, on the basis of the order of the designated person, the Authority revokes the order of suspension and restores the license of the surveyor and loss assessor, it shall indicate the date from which the restoration will take place

4. The license granted by the Authority may be cancelled by the Authority where the surveyor and loss assessor does not represent within a period of 45 days from the date of order of suspension.

5. Any order of suspension or revocation of the order thereof shall be intimated to the insurer.

6. Authority shall notify only cancellations in the Official gazette.

SCHEDULE