Reduced compliance burden for insurance companies
IRDAI, in its continuous endeavour towards promoting ease of doing business for insurance companies in India, has reviewed and rationalized the regulatory returns to be filed by the Insurance Companies.
In its latest circular dated 10.06.2022, IRDAI has reduced the number of off-line returns being submitted by Life Insurers from 40 to only 4 whereas the number of online returns would come down from 8 to 5. Three separate certification requirements have also been consolidated into one.
This comes after the similar relaxations extended to General insurers and Health insurers vide circulars dated 12.05.2022 and 23.05.2022 respectively. IRDAI has also discontinued submission of hard copies of any reports, returns or other documents related to actuarial valuation or reinsurance vide circular dated 11.05.2022.
It is expected that reduced compliance burden will enable insurers to better focus their efforts and time in reaching out to every Indian with the ultimate goal of improving coverage and penetration.
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Insurance Regulatory and Development Authority of India
Ref: IRDAI/Life/Cir/ Misc/118/6/2022
Date: 10/06/2022
To,
All Life Insurers
Subject: Rationalization of regulatory returns and other compliance requirements
With an objective to enhance ease of doing business and reduce compliance burden, it is decided to rationalize the regulatory returns and other compliance requirements from life insurers as per the following. These directions are issued under Section 14(2) (e) of the Insurance Regulatory and Development Authority Act, 1999.
1. The requirement of submission of the following returns is discontinued:
1.1. Fortnightly return containing details of branches fully / partially closed – ref circular dated 23/03/2020.
1.2. Monthly statement of grievances related to OTP based consent for proposals – ref circular dated 12/11/2020.
1.3. Monthly Statement of Renewal Premium and Policy Payouts – ref circular dated 10/08/2021.
1.4. Monthly report on sale of Saral Jeevan Bima – Standard Life Product – ref email dated 29/04/2021
1.5. Monthly report on sale of Saral Pension- Standard Annuity Product – ref email dated 08/06/2021
1.6.Monthly report on NCFE Trainings – ref email dated 5/10/2021
1.7. Monthly NB Premium on Fund Based Products.
1.8. Monthly report of products launched during the period – ref circular dated 03/04/2008.
1.9. Annual Statement of number of agents /intermediaries trained in ULIPs – ref circular dated 26/09/2019.
1.10. Quarterly Life Operational BAP Return on “Names of MI products on offer”.
2. The submission of the following off-line / manual returns is discontinued:
2.1 Yearly Outsourcing returns as per IRDAI (Outsourcing) Regulations, 2017.
2.2 International Business Reporting under Places of Business – Returns with Yearly and Quarterly modes.
3. The frequency of submission with respect to the progress report on Covid-19 death claims has been modified from weekly to monthly.
4. The following compliance certifications have been consolidated and henceforth, the Chief Compliance Officers need to sign a single certificate for the following:
4.1 Annual distance marketing compliance certificate.
4.2 Annual certificate of compliance on Advertisements.
4.3 Annual compliance certificate of KMP-2
The above modifications come into force with immediate effect.
JAYANTH KUMAR VEPACHEDU
Chief General Manager (Life)
