How is the application for Certificate of Registration (CoR) under the IRDAI (Registration of Corporate Agents) Regulations, 2015 to be submitted to the Authority?
All applications made under IRDAI (Registration of Corporate Agents) Regulations, 2015 should be submitted directly (not through insurers) to the Authority through the online mode.
The Online Portal for Corporate Agents can be accessed at https://agencyportal.irdai.gov.in/. Help File for portal users is also available at this link.
What is the capital requirement for a Corporate Agent exclusively doing insurance intermediation? How it will affect the existing CA exclusively doing insurance business?
As per the New Regulations, a Corporate Agent exclusively doing insurance intermediation should have a minimum share capital or contribution of Rupees Fifty Lakh and it should maintain a net worth of Rupees Fifty Lakh at all times.
Whether all applicants for Certificate of Registration (CoR) under the New Regulations have to submit Board approved open architecture policy?
Yes. Every corporate agent shall file, at the time of seeking registration with the Authority, a Board or its equivalent Approved Policy on the manner of soliciting and servicing insurance products. It is required in all cases irrespective of the applicant planning to have only a single tie-up or multiple tie-ups.
The Policy, amongst others, shall include the approach to be followed by the corporate agent in having single or multiple tie-ups, the partners in the tie-ups, the business mix, the type of products sold, grievance redressal mechanism and reporting requirements.
What are all the things that should be provided in Board Approved Policy required under Reg. 20 (1)?
The Board or equivalent approved policy shall contain the approach to be followed by the corporate agent in having Single or Multiple tie-ups, the proposed partners in the tie-ups, the business mix, the type of products sold, grievance redressal mechanism and the reporting requirements.
However, the board approved policy can be exhaustive and contain all other matter which they deem fit and necessary for registration and functioning of corporate agency
What supporting evidence should the applicants for Certificate of Registration (CoR) produce in respect of the infrastructure requirement to act as Corporate Agents?
As per Clause A. (e) of Annexure 2, details of infrastructure, along with supporting evidence thereof like ownership / lease agreement papers with regard to office space / equipment / trained manpower, etc. for the registered office and the branch offices at various locations are to be submitted.
Listed Companies, Banks and NBFCs are exempted from submitting the supporting evidence as mentioned above. Such applicants only need to furnish a generic undertaking signed by authorized signatories providing such information.
What is the requirement regarding Clause A (f) of Annexure 2 of the Regulations (projection of administrative expenses, salaries and wages and other expenses, revenue account, profit and loss account and balance sheet for the projected 3 years) from different types of applicants?
These requirements are to be complied with those CA's who have been incorporated exclusively for the purpose of insurance intermediation. In respect of other corporate agents and banks, the annual report/s with detailed information on expenses, profit and loss and balance sheet are to be submitted.
An applicant may opt to work in only one line of business viz. Life, General or Health. In case the applicant wishes to work in more than one line or all three lines of business, does the entity have to make two or three different applications?
NO. In case an applicant wishes to work in more than one line or all three lines of business, they may apply for Composite CoR. However, the application should clearly mention whether it is for Life / General / Health or for Composite.
Who would be conducting the training and examination for POs/Specified Persons?
The Insurance Institute of India will conduct the training and examination will be conducted by NSE IT as per the existing practice. In case of any change in this arrangement, the same will be notified by the authority from time to time in the portal.
What is the procedure for transfer of Specified Persons? How is such transfer to be effected on the CA Portal?
Every SP desiring to transfer his / her certificate to any other corporate agent shall do so only after obtaining No Objection Certificate (NOC) from the transferor corporate agent as per the procedure prescribed in the Regulation 7. In case the transferor corporate agent fails to issue NOC within 30 days of the date of application, it will be deemed that the NOC is issued and they do not have any objection for the proposed transfer.
Do insurers have to conduct onsite inspection of CAs?
NO. As per Regulation 27, the Authority has the power to inspect the records of a Corporate Agent and performance of its activities anytime and in case of any deficiency observed, the Authority may take appropriate disciplinary action. The procedure applicable for the Inspection and the Audit of a Corporate Agent are mentioned in Schedule IV of these Regulations.
How many insurers can a Corporate Agent have tie up with?
A Corporate Agent registered as Corporate Agent (Life) may have tie up with three life insurers. On the same lines, a Corporate Agent (General) and Corporate Agent (Health) may have arrangements with a maximum of three insurers in their respective lines of business. A Corporate Agent (Composite) may have tie-up with three insurers in each of Life, General and Health.
Is there any time frame within which the Corporate Agent needs to disclose information on tie-ups to the Authority?
As per Reg. 23 (a) Corporate Agents registered under these regulations shall have to enter into arrangements with insurers for distribution of their products. These arrangements shall have to be disclosed to the Authority within 30 days of entering into such arrangements. The minimum period of such arrangement shall be for one year.
What type of registers shall be maintained by the Corporate Agents and the information required in each of these registers?
In accordance with Regulation 30, every corporate agent shall maintain following registers.
Register of Client Details:
Name of the Client; Contact Address; Mobile Number; Policy Type; Policy Number; Premium Amount; Date of Commencement; Plan and Term; Sum Assured; Renewal details
Register of Complaints:
Name of the Complainant; Nature of Complaint; Date of Complaint; Policy Number; SP details; Action taken details.
Register of Specified Persons / Authorized Verifiers:
Name; Address; Telephone NO.; Photograph; Date of Commencement of employment; Date of leaving service; Monthly Remuneration
What other records are to be maintained by the Corporate Agents other than those specified in the IRDAI (Registration of Corporate Agents) Regulations, 2015?
Corporate Agents have to comply with the requirement for maintenance of records under IRDAI (Minimum Information Required for Investigation and Inspection) Regulations 2020 also with regard to maintenance of records.
What are the Returns / Certificates to be submitted by the Corporate Agent and / or Insurer under the Regulations?
The list of corporate agents registered with the Authority is available on the Authority’s official website “www.irda.gov.in”.
Are there any formats for filing the half yearly returns and complaints information?
All these formats are made available in the Corporate Agency Portal.
What are the various fee payments to be made for registration of Corporate Agents and for issue of certificates for PO / SP / AV? How is the payment to be made?
The various fees viz. Non Refundable Fee, Registration Fee, Specified Person / Authorized Verifier Fee and other fees can be remitted through Bill Desk.
Corporate Agents are also allowed to make the payment by NEFT as per bank details given below;
Bank A/c NO. : 860120110000681
Beneficiary : INSURANCE REGULATORY AND DEVELOPMENT AUTHORITY OF INDIA (IRDAI)
IFSC Code : BKID0008601
Name of the Bank & Branch : Bank of India, Basheerbagh, Hyderabad
Non-Refundable Application Fee – ₹ 10,000 Registration Fee for issue of Certificate of Registration (COR) – ₹ 25,000 Renewal Fee for Renewal of COR – ₹ 25,000 Fee for issue of Certificates for Principal Officer / Specified
Person / Authorized Verifier – ₹ 500 each.
Fees paid through Bill Desk will be automatically updated in the corporate agents account. If the payments are done through NEFT, the corporate agents have to submit the details along with the UTR Number in the portal (under “Web Wallet Receipt Entry / Offline Payment”) which will be approved by Authority and credited to the web wallet account of the corporate agents.