IRDA announces uniform framework for reporting ALM policy
The Insurance Regulatory and Development Authority (IRDA) has announced a broadly-defined uniform framework for reporting asset liability management (ALM) policy adopted by life and non-life insurance companies.
According to the framework, each insurer will have an ALM policy approved by the Board of the Insurer which would consider asset liability relationships, the insurer’s overall risk tolerance, risk and return requirement, solvency position & liquidity requirements. This information was given by the Minister of State for Finance, Namo Narain Meena in written reply to a question in Lok Sabha on 8th August.
Deposit insurance cover is applicable to deposits in co-op banks
The deposit insurance coverage is applicable to all eligible deposits in co-operative banks, Finance Minister P Chidambaram informed Rajya Sabha.
According to current norms of Deposit Insurance and Credit Guarantee Corporation (DICGC), a 100% subsidiary of the Reserve Bank of India (RBI), a maximum of Rs. 1 lakh is paid to a depositor if a bank becomes insolvent… Read more
Exempt loss making banks, insurers from CCI ambit: Ministry
The Finance Ministry has asked Ministry of Corporate Affairs to exempt loss making insurance and banking firms from the scope of Competition Act, Parliament was informed.
The Competition Act, 2002 does not provide exemption to any sector, including banking, from its ambit.
"The Department of Financial Services has approached Ministry of Corporate Affairs for granting exemption to loss making and failing organisations in the insurance sector and the banking sector from the purview of Competition Act, 2002," Minister of State for Corporate Affairs RPN Singh said in a written reply to the Rajya Sabha on 13th August… Read more
What will propel growth of health insurance in India?
Innovations across all touch points will be the one that would make the difference and help us accomplish our mission of getting to universal health insurance coverage in India, Manasije Mishra explains… Read more
Bancassurance Low cost; large reach
Unlike an agent that can only sell insurance, properly trained bank staff can dedicate themselves to serving all their customers’ financial needs in one-stop, John Holden says… Read more
Insuring rural & urban poor as viable business proposition
Micro insurance cannot grow rapidly and sustain deeper persistency if it’s mandated on the lines of cross subsidy between rich and poor, urban and rural as any subsidies are not based on sound principles of economics, Dr Nandagopal points out… Read more
Apollo Munich Health Insurance launches Optima Senior
Apollo Munich has launched Optima Senior to cater senior citizens above 61 years of age.
"With the onset of retirement, most people find themselves losing their corporate health insurance coverage, at a time when it is needed the most. Optima Senior caters to senior citizens who seek uncomplicated and easy to understand health insurance coverage, with minimal restrictions and maximum benefits," Apollo Munich Health Insurance CEO Antony Jacob said in a release… Read more
Tata AIA Life launches Maha Raksha Supreme
Tata AIA Life Insurance has launched Maha Raksha Supreme, a non-linked, non-participating term insurance plan that offers customers a wide range of life protection options to protect one’ s family’s ‘Standard of Living (SOL)’ .
Maha Raksha Supreme offers two cover options—Pure Protection Cover and Extra Protection Cover. Pure Protection Cover is the basic form of life insurance where the nominee will receive the basic sum assured in the event of the insured’s demise. Extra Protection Cover offers insurance cover combined with an inbuilt waiver of premium option, which ensures that in case the insured suffers from total permanent disability, the future premiums are waived and the policy will continue for life insurance protection… Read more
Bharti AXA Life introduces Claims Assistance Manager
Bharti AXA Life Insurance, the private life insurance joint venture between Bharti Enterprises and AXA, the world’s largest insurance company, introduced a unique service proposition to ease pressure off claims process – Claims Assistance Manager (CAM). A personalized service, CAMs will offer expert knowledge and guidance to enhance customer claims experience… Read more
Bharti AXA General to launch unemployment insurance product
Bharti AXA General Insurance may come up with an unemployment insurance product in FY12-13. Bharti AXA General is a joint venture between Bharti Enterprises and AXA group.
The company has applied for approval for an ‘unemployment insurance’ product from IRDA (Insurance Regulatory and Development Authority). If it gets the necessary approval, it will launch the product this fiscal,” Amaranath Ananthanarayanan, CEO, Bharti AXA General Insurance said… Read more
Reliance Capital completes 26% stake sale to Nippon Life
Reliance Capital said it has completed the sale of 26% stake in its asset management and mutual fund unit to Japanese financial services giant Nippon Life for Rs. 14.5 billion.
All the regulatory approvals have been received for the deal and the entire transaction proceeds of Rs. 14.5 billion have been received from Nippon Life Insurance, Reliance Capital said in a statement.
Following completion of the deal, Reliance Capital also announced the induction of Yutaka Ideguchi as a Non Executive Director and Nippon Life nominee on the board of Reliance Capital Asset Management (RCAM), the mutual fund and asset management arm of R-Cap… Read more
IndiaFirst Life adds 2 insurance plans for rural customers in AP
Private insurer IndiaFirst Life Insurance added two insurance products for customers of Chaitanya Godavari Grameena Bank (CGGB) in Andhra Pradesh.
In 2011, IndiaFirst had signed with CGGB for product distribution among the Bank’s customers. The latest offering is part of an initiative to take the benefit of insurance to the masses, IndiaFirst Life said in a release.
Reliance Life starts Life Plus Club
Private insurer Reliance Life has launched Reliance Life Plus Club—a post-sales customer service initiative.
Japan’s Nippon Life along with its partner Reliance Life has introduced the concept of post-sales services to the Indian insurance industry. As a strategic partner, Nippon Life holds 26% stake in Reliance Life… Read more
Iksita Insurance Brokers discontinues to be as direct broker
The IRDA (Insurance Regulatory and Development Authority) has cancelled the license of New Delhi-based Iksita Insurance Brokers Pvt Ltd to act as a direct broker in both life and general insurance.
In November 2010, Iksita Insurance Brokers in an official letter had communicated to IRDA that it wanted to discontinue as direct insurance broker… Read more
IRDA to review micro insurance regulations
On comprehensively examining the existing business model adopted under micro insurance compared with present regulations on micro insurance, insurance regulator has proposed to review the IRDA (Micro Insurance) Regulations, 2005.
Accordingly, IRDA (Insurance Regulatory and Development Authority) has issued an exposure draft on Micro Insurance (Modification) Regulations for further deliberations on the subject.
All stakeholders can send their feedback on the exposure draft to firstname.lastname@example.org before 25 August 2012.
Increase in frauds drives up premiums
The Indian insurance sector incurs a loss of more than 8% of its total revenue collection in a fiscal year, according to the Ernst & Young survey on frauds in insurance. Further, the study indicates that the average ticket size of a single fraud ranges between Rs. 25,000 and Rs. 75,000. Increase in frauds indirectly drives up the premiums collected from policyholders as insurers ultimately recover the losses by increasing the prices… Read more
IRDA penalises Tata-AIG Life Insurance
The Insurance Regulatory and Development Authority (IRDA) has penalised Tata-AIG Life Insurance Company for violation of various regulatory norms. According to the IRDA order, Tata-AIG Life has to remit the penalty of Rs. 49 lakh debiting shareholder's account within 15 days.
The insurance regulator had found lapses in various rules, including non-adherence to norms of referrals and preparation of financial statements by the life insurer. The penalty follows an on-site inspection of Tata-AIG Life in August 2010, during which IRDA found violations of the provisions and guidelines of the Insurance Act. Tata AIG Life has made certain payments to HSBC Bank and Citibank banks in violation of IRDA's guidelines on group insurance policies, IRDA said… Read more
Know more about NPS-Corporate Sector Model
Most of us have surely heard about National Pension System (NPS). We are also aware about the basic features that NPS offers. NPS is a pension plan where you can invest during your working years and withdraw when you retire. A low-cost retirement solution, NPS can turn our retirement savings into a sizeable kitty. However, many people are not aware about the ‘Corporate Model’ of NPS which is designed for workforce employed in the corporate sector… Read more