The finance ministry&rsquo;s proposal to allow insurance companies to invest in AA-rated securities will broaden investment options for insurance companies but is also likely to expose their policyholders to higher risk.

New insurance norms can be a double-edged sword

Business Standard

The Insurance Regulatory and Development Authority (Irda) has identified 18 products categories for standardisation. Product standardisation has been considered for the File and Use mandate as product approvals in the industry was taking time. This lead to companies not being able to offer products as insurers could offer product till it was approved. So, the regulator has proposed standardising some products that can be offered in 15 days of being filed with the regulator.

Irda identifies 18 product categories for standardisation

Health insurers in India may not be feeling quite well after the Insurance Regulatory and Development Authority (Irda) proposed a host of measures in its draft guidelines to improve customer services. The proposal to remove the exit age in health insurance is likely to increase loss ratios of general insurance companies, insurers fear.

No exit age in health covers to increase insurers' loss ratio

Be prepared to shell out a little more on your insurance premiums and receive less value if you decide to exit your policy before maturity. In its draft norms for traditional products, the Insurance Regulatory and Development Authority (Irda) has proposed an increase in agents&rsquo; commissions and a reduction in surrender value of policies.

Irda raises agents' commission, cuts minimum guaranteed surrender value for some products 

The insurance sector has two new entrants. Religare Health Insurance has begun as a standalone health insurance player, while non-banking financial company Magma Fincorp has entered the general insurance business through a joint venture with HDI Gerling, a leading German insurer. Magma HDI General Insurance (MHDI) will be the new entity.

Insurance gets two new players

The Insurance Regulatory and Development Authority (Irda) on Wednesday brought out a proposal to include paint material in the list of items that have depreciation rates. These rates apply to replacement of parts for partial loss claims in respect to vehicles and accessories and is covered by the General Regulation (9) of the erstwhile India Motor Tariff.

Irda's depreciation rate tweak in motor sector

The low penetration of general insurance companies is a major concern, said M Ramaprasad, member, Insurance Regulatory and Development Authority.

Irda member decries low penetration of general insurance

Government-owned Life Insurance Corporation (LIC), the country&rsquo;s largest institutional investor, says it&rsquo;s not into the business of bailing out companies.

'We aren't a bailout agency'

Sales of health and pension policies of life insurance companies have taken a beating in June, according to the latest data released by the Insurance Regulatory and Development Authority (IRDA).

Health insurance, pension policies see a sharp dip

The premium collection of general insurance companies rose 20.9 per cent in July 2012 compared to July 2011, according to data released by Insurance Regulatory and Development Authority (Irda).

General insurers' premium collection up 20.9% in July

The banking regulator is unhappy with the Life Insurance Corporation (LIC) of India holding more than 10 per cent stake in State Bank of India, the country&rsquo;s largest lender.

LIC's 11% SBI stake makes RBI see red

The Insurance Regulatory and Development Authority (Irda) is looking at making insurance policies more investor-friendly by introducing tax exemptions on insurance policies.

Irda attempts to make insurance policies more investor-friendly

Along with retail and aviation, the insurance sector is set to see an overhaul following a finance ministry intervention. The sector has been characterised by dwindling sales in the past two years.

Govt to rewrite life insurance norms

Insurance Regulatory and Development Authority (Irda) Chairman J Hari Narayan on Thursday said overall growth in the insurance business this financial year would be &ldquo;encouraging&rdquo;.

Insurance sector growth this year to be encouraging: Irda 

The Insurance Regulatory and Development Authority (Irda) today issued a draft proposal on a composite standard insurance product for the rural and social sector. Companies have been given 30 days to respond with suggestions.

Standard insurance for rural, social sectors

Within the next six months, government-owned insurance companies would have an in-house third-party administrator (TPA) system, said G Srinivasan, chairman and managing director of United India Insurance on the sidelines of the Global Insurance Summit organised by Assocham.

Govt general insurers to set up in-house TPAs in six months

In a bid to give more options in long-term investments and to hedge interest rate risks for life insurance companies, the Insurance Regulatory and Development Authority (Irda) has proposed to allow these firms to participate in credit default swaps (CDS), security lending and borrowing (SLB), and the repo and reverse repo market.

Life insurers may get credit swap window

There might soon be a lesser penalty on customers wishing to surrender traditional insurance policies.

Irda mulls friendlier rules for life cover surrender

In a move to contain the losses inherent in the third-party motor insurance portfolios, the finance ministry has asked the four state-owned general insurers to prepare a common underwriting manual for declined risk pool by the end of August for the next financial year.

General insurers told to have a common underwriting manual

A 12-member expert committee formed by the Planning Commission has asked insurance and pension regulators to allow investments in venture capital (VC) funds by firms under their respective jurisdictions.

'Insurers, pension firms should invest in VC funds'

Don&rsquo;t be surprised if an insurance agent walks into your home with a &lsquo;tablet&rsquo; in his hand and offers a life insurance policy of your choice instantly, on a real-time basis. Tata AIG Life, to be renamed as Tata AIA Life, has developed a tool that would facilitate instant delivery of all kinds of life insurance policies.

Page 97 - Insurance