INSURANCE INSTITUTE OF INDIA
- Insurance Institute of India was established in 1955 in Mumbai.
- The institute is formerly known as Federation of Insurance Institute.
- The purpose of the institute was to provide necessary education to those people who engaged in insurance or interested in insurance.
- Insurance Institute of India is closely associated with all the segments of the insurance industry which includes Insurance Regulatory Authority of India, Public and Private Sector Insurance Companies.
- Insurance Institute of India also conduct the examinations at various levels.
- It is only one professional institution which devoted solely to insurance related education.
- Successful candidates get certificates and awards from Insurance Institute of India.
- This institute is recognized by Government of India.
IRDA
- IRDA stands for Insurance Regulatory and Development Authority.
- IRDA is an agency of Government of India for supervision and development of Insurance Sector in India.
Powers and functions of IRDA –
Issue to the applicant a certificate of registration, renew, modify, withdraw, suspend or cancel such registration;
- Protection of the interests of the policy holders in matters concerning assigning of policy, nomination by policy holders, insurable interest, settlement of insurance claim, surrender value of policy and other terms and conditions of contracts of insurance.
- Specifying requisite qualifications, code of conduct and practical training for intermediary or insurance intermediaries and agents
- Specifying the code of conduct for surveyors and loss assessors;
- Promoting efficiency in the conduct of insurance business;
- Promoting and regulating professional organizations connected with the insurance and re-insurance business;
- Levying fees and other charges for carrying out the purposes of this Act;
- Calling for information from, undertaking inspection of, conducting enquiries and investigations including audit of the insurers, intermediaries, insurance intermediaries and other organizations connected with the insurance business;
- Control and regulation of the rates, advantages, terms and conditions that may be offered by insurers in respect of general insurance business not so controlled and regulated by the Tariff Advisory Committee under section 64U of the Insurance Act, 1938 (4 of 1938);
- Specifying the form and manner in which books of account shall be maintained and statement of accounts shall be rendered by insurers and other insurance intermediaries;
- Regulating investment of funds by insurance companies;
- Regulating maintenance of margin of solvency;
- Adjudication of disputes between insurers and intermediaries or insurance intermediaries;
- Supervising the functioning of the Tariff Advisory Committee;
- Specifying the percentage of premium income of the insurer to finance schemes for promoting and regulating professional organizations referred to in clause (f);
- Specifying the percentage of life insurance business and general insurance business to be undertaken by the
- insurer in the rural or social sector; and
- Exercising such other powers as may be prescribed.
Role of IRDA
- IRDA’s primary function is to protect consumer interests. This means ensuring proper disclosure, keeping prices affordable but also insisting on mandatory products, and most importantly making sure that the consumers get paid by insurers.
- Further,ensuring the solvency of insurers.
- Growth of insurance business entails better education and production to customers, creating better incentives for agents and intermediaries.
- It has evolved guidelines on the entry and functions of such intermediaries. Licensing of such agents and brokers are required to check their indulgence in activities such as twisting, fraudulent practices, rebating and misappropriation of funds.
