Procedure to be followed to deal with resignation of ISPs of IMFs

INSURANCE REGULATORY AND DEVELOPMENT AUTHORITY OF INDIA 

Ref: IRDA/INT/CIR/IMF/122/05/2017                                                                                                                                    25^th May, 2017

CIRCULAR

Sub: Procedure to be followed to deal with resignation of Insurance Sales Persons (ISPs) of Insurance Marketing Firms (IMFs).

Regulation 27.2 (b) of Insurance Regulatory and Development Authority of India (Registration of Insurance Marketing Firm) Regulations, 2015 (hereinafter referred as IMF regulations) envisages that the resignation of ISPs of IMFs shall be approved by a Committee constituting members nominated by Life Insurance Council or General Insurance Council. Accordingly, a three-member Committee is constituted by the Authority.

Regulation 27.2 (c) of IMF Regulations stipulates that the authority shall allot States/ Union Territories (UTs) to Councils. Consequently, the authority has allotted States/ UTs to Life and General Insurance Councils to receive the requests from IMFs which are located in various States and UTs. The allocation of States and UTs is appended herewith as Annexure A.

On receipt of resignation letter from an ISP, the IMF has to forward the same along with the copy of its registration certificate either to the Life Insurance Council or General Insurance Council as per the above allocation under intimation to the Authority.

The Council shall forward the requests of ISPs to the Committee and the decision of the Committee shall be communicated to the IMF under intimation to the Authority.

This circular is issued under the powers vested with the Authority in Section 14 (2) of IRDA Act, 1999 read with Reg. 28 of IMF Regulations.

P.J. Joseph

Member (Non-Life)

Encl: as above

Parisharam Bhavan, 3rd Floor, Basheer Bagh, Hyderabad- 500004, India.

Ph.: 91-040-2338 1100, Fax.: 91-040-6682 3334

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