New Delhi
The Insurance Regulatory and Development Authority of India (IRDAI) has greenlit the establishment of Bima Sugam, an insurance e-marketplace facilitating the purchase, sale, and management of insurance policies along with claims settlement.
This marketplace aims to streamline operations for all stakeholders in the insurance ecosystem, including customers, insurers, intermediaries, and agents, fostering transparency, efficiency, and collaboration. The IRDAI underscores that Bima Sugam – Insurance Electronic Marketplace Regulations, 2024, seeks to create a digital infrastructure promoting universal access to insurance and protecting policyholders’ interests, with the ambitious goal of achieving ‘Insurance for all by 2047.’
The IRDAI has ratified eight consolidated regulations, streamlining the regulatory framework for the insurance sector. This consolidation replaces 34 regulations with six, while introducing two new regulations to enhance clarity and coherence. These regulations cover crucial areas such as policyholder protection, rural and social sector obligations, electronic insurance marketplaces, insurance products, foreign reinsurance operations, registration, actuarial practices, finance, investment, and corporate governance.
Specifically targeting the rural sector, the IRDAI (Rural, Social Sector, and Motor Third Party Obligations) Regulations, 2024 merge two previous regulations concerning minimum business commitments in rural, social sectors, and motor third-party business for insurers. The regulations also update compliance measures, with Gram Panchayat now serving as the unit of measurement for rural obligations.
