In accordance to the provision of Insurance Regulatory and Development Authority of India (Registration of Corporate Agents) Regulations, 2015 with effective from 1st April, 2016 any person whomsoever want to carry the Corporate Agent business need to take registration of Insurance Regulatory and Development Authority of India (IRDAI).
Corporate agent business refers to solicitation and servicing of insurance business for any of the specified category of life, general and health.
Therefore Corporate Agent can be only for Life, General, Health or Composite, doing the business of solicitation and servicing for all category at one place. These registration can have arrangements with a maximum three life insurer, three general insurer and three health insurer to solicit, procure and service their insurance products.
Available Category for License:
- Corporate Agent – Life
- Corporate Agent-General
- Corporate Agent – Health
- Corporate Agent – Composite
The applicant can place for license under any available category as per their strength on particular products of insurance company.
Following corporate are known as eligible entity to take registration as an Eligible Entity for acting as Corporate Agent for Insurance Business of Insurance Company:-
- Company either Public or Private incorporated as per Companies Act, 2013
- Limited Liability Partnership (LLP) registered under Limited Liability Partnership Act, 2008
- Co-operative Society registered under Co-operative Societies Act, 1912
- Bank, new corresponding Bank, Regional Rural Bank or NBFC registered with Reserve Bank of India
Above listed entity to act as corporate agent either have principal business is other than distribution of insurance products and insurance distribution is a subsidiary activity or shall have principal business is to exclusively carry on insurance intermediation.
Eligible entity with underlying object shall make an application in Form A to the IRDAI along with accompanied by requisite fees INR 10,000/- plus applicable taxes. It is non-refundable in the nature of payment. The fees shall be payable by an Account Payee draft in favor of “The Insurance Regulatory and Development Authority of India” payable at Hyderabad.
Any entity registered or licensed by any other regulatory body in a financial sector should obtain no-objection certificate from the respective bodies and file an application accordingly.
In case of existing entity being applicant, may require to alter the Memorandum/Deed of association else the new entity should incorporate upon approval from IRDAI. Thereafter the preparation of documents, drafts, and information need to submit the application for IRDAI for final approval.
Once the application is scrutinize by IRDAI and found good to go then IRDAI will communicate the grant of registration from the authority, the applicant shall pay a Fee of INR 25,000/- plus applicable taxes, within 15 days of receipt of communication.