The Insurance Regulatory and Development Authority of India (IRDA) is an autonomous, statutory body tasked with regulating and encouraging the insurance and reinsurance industries in India. It was created by the Insurance Regulatory and Development Authority Act, 1999, an Act of Parliament passed by the Government of India. The agency’s headquarters are in Hyderabad, Telangana, where it shifted from Delhi in 2001.
IRDAI is a 10-member body covering the chairman, five full-time and four part-time members appointed by the government of India.
Section 4 of the IRDAI Act 1999 gives a particular authority’s composition. It is a ten-member body comprising of a chairman, five full-time and four part-time members appointed by the government of India. At present ( 1 Sept 2018 ), the authority is headed by Subhash C. Khuntia and its full-time members are P. J. Joseph, Nilesh Sathe, Pournima Gupte, Praveen Kutumbe and SujayBanarji.
The Objectives of the IRDAI are defined in Section 14 of the IRDAI Act, 1999, and include:
- Publishing, renewing, modifying, withdrawing, suspending or canceling registrations
- safeguarding policyholder interests
- Specifying qualifications, the code of conduct and training for intermediaries and agents
- Specifying the code of conduct for surveyors and loss assessors
- encouraging efficiency
- encouraging and regulating professional organizations connected with the insurance and reinsurance industry
- Levying fees and other charges
- Inspecting and investigating insurers, intermediaries and other relevant organizations
- Regulating rates, advantages, terms and conditions which may be offered by insurers not covered by the Tariff Advisory Committee under section 64U of the Insurance Act, 1938 (4 of 1938)
- Specifying how books should be kept
- Regulating company investment of funds
- Regulating a margin of solvency
- Adjudicating disputes between insurers and intermediaries or insurance intermediaries
- Supervising the Tariff Advisory Committee
- Specifying the percentage of premium income to finance schemes for promoting and regulating professional organizations
- Specifying the percentage of life- and general insurance business undertaken in the rural or social sector
- Specifying the form and the manner in which books of accounts shall be maintained, and statement of accounts shall be rendered by insurers and other insurer intermediaries.