INSURANCE REGULATORY AND DEVELOPMENT AUTHORITY OF INDIA
Circular No. IRDAI/ACTL/CIR/PRO/81/3/2023 Dated: 31st March 2023
To
All Life insurers, General insurers and Health insurers
Subject: “Use and File” Procedure for Products
Ref:
1. IRDAI/ACTL/CIR/PRO/207/10/2022 dated 4th October 2022
2. IRDAI/HLT/REG/CIR/108/06/2022 dated 1st June 2022
3. IRDAI/NL/GDL/F&U/030/02/2016 dated 18th February 2016
4. IRDAI/NL/CIR/MISC/107/6/2022 dated 1st June,2022
5. IRDAI/NL/CIR/PRO/146/07/2022 dated 14th July 2022
6. IRDAI/NL/CIR/MISC/212/10/2022 dated 13th October 2022
This circular is being issued in exercise of the powers conferred by Section 14 (2) (e) of the Insurance Regulatory and Development Authority Act,1999 in keeping with the objective of allowing Use and File (U&F) in certain categories and seeks to modify the existing procedure thereby enabling dynamism as well as speed to market insurance products.
1. The documents that are required to be submitted under the above mentioned U&F circulars shall hereafter be submitted to the Product Management Committee (PMC), instead of being filed with IRDAI. The PMC shall be responsible for the final approval of the products.
2. The PMC shall be responsible to ensure that the entire set of documents required under U&F Procedure is complete, correct, digitally signed and are in compliance with the extant applicable legal and regulatory framework, and maintained by the PMC.
3. IRDAI may call for documents in respect of a few products identified on monthly basis from amongst all the life insurers, general insurers and health insurers for examination as per the following procedure:
i. The identification could depend on various factors like number of products launched during the previous financial year, complaints received on the products launched/mis-selling/distribution channel, news articles of aggressive selling of specific products, sales volumes of the products launched, rampant policy cancellations or free look cancellations, or any other matter concerning products/solicitation.
ii. Insurer shall submit the entire set of documents to IRDAI, whenever called for, within a period of two days.
4. IRDAI may conduct onsite examination of U&F documents.
5. Insurer shall submit the certificate signed by the CEO in the standard format as specified in Annexure-A.
6. The insurer shall submit quarterly report as per Annexure-B, with respect to the products launched for the first four quarters from the date of launch of the product.
7. Insurers shall upload the policy wordings/documents, sales literature, premium calculator, in their website in the chronological order of UINs, before the product is launched or within seven days of allotment of UIN, whichever is earlier.
8. Insurers shall ensure that the systems, procedures, manuals and all essential infrastructure required for launching the product and maintenance of insurance policies are put in place.
9. The products referred to in this circular mean base products as well as riders/add-ons attached to the base product.
10. The provisions of the above referred circulars shall remain valid except to the extent specified under this circular.
11. The circular comes into force with effect from 1st April 2023.
Sd/-
S P Chakraborty
Chief General Manager (Actuarial)
Annexure-A
|
S No |
Item | Particulars |
| 1 | Name of Life / Health /General Insurer | |
| 2 | Registration No. allotted by IRDAI | |
| 3 | Type of product | |
| 4 | Name of the product | |
| 5 | Whether New or Modification | |
| 6 | Date of approval by PMC | |
| 7 | UIN | |
| 8 | Date of launch |
This is to certify that the proposed product complies with the provisions of the Insurance Act, 1938, the IRDA Act, 1999, other applicable Acts and amendments thereon, extant Regulatory framework put in place by the Authority along with Use and File circulars/guidelines issued thereon from time to time and all other applicable statutory laws.
I also undertake that, Insurer shall:
i) maintain the entire set of documents required under U&F Procedure and shall submit the documents to the IRDAI, as and when required, within two days
ii) not modify without completing the due process mandated for modifications
iii) put in place appropriate systems, procedures, manuals, all essential infrastructure required for launching the product and maintenance of insurance policies
iv) upload all the required documents of the product on the website
Signed by Chief Executive Officer
Name:
Date:
Annexure-B
Quarterly Report
1. Name of the Insurer:
2. For the quarter ended mm/
|
Sl. No. |
Name of
product |
UIN | Date of launch | Number of Policies sold | Number of Lives* | Gross Premium (Rs in lakh) | Sum Assured/ Insured (Rs in lakh) |
* Applicable for Life and Health products
Signed by the Chief Compliance Officer
Name:
Date:
