What happened
The Insurance Regulatory and Development Authority of India (IRDAI) approved reforms focused on insurance intermediaries. The reforms are framed as a revamp of insurance intermediary arrangements and the compliance approach applied to intermediaries.
Background and earlier position
Insurance distribution in India commonly relies on intermediaries such as insurance agents and insurance brokers. Regulatory compliance expectations for these intermediaries have been a key part of how IRDAI supervises insurance product distribution, alongside compliance expectations for insurers.
What changed now
IRDAI’s approved reforms aim to modernise the rules governing the intermediary ecosystem. The reforms focus on intermediary arrangements and how intermediaries are expected to meet compliance requirements, with linkage to the responsibilities of insurers and agents or brokers involved in distribution.