In the absence of a regular chairman after Debasish Panda ended his three-year term in March ,PK Arora, member, Actuary, IRDAI, will chair the IRDAI board meeting
New Delhi/Hyderabad: Insurance regulator IRDAI will have its next board meet on 14th July and is likely to finalise licenses for some new players along with approval for Rs 4,500 deal by Baba Ramdev’s Patanjali Ayurved to acquire Magma General Insurance.
In the absence of a regular chairman after Debasish Panda ended his three-year term in March ,PK Arora, member, Actuary, IRDAI, will chair the meeting. Prashant Kumar Goel, joint secretary, Department of Financial Services is the government nominee in the IRDAI.
Though, there are a few licenses. which are ready to be issued, IRDAI seems to have waited for the appointment of a regular chairman to finalise them.
However, the appointment of a new chairman by the government has got delayed for various reasons though names of the contenders, who are in the race for the post, have almost remained the same for the last four months.
They are Giridhar Armane, former Defense Secretary, Ajay Seth, former Finance Secretary, Pankaj Jain, Petroleum Secretary. Of late, the name of M Nagaraju, Secreteray, Financial services, has been added to the list.
In fact, after Panda’s departure, Nagaraju has been regularly meeting insurers and IRDAI officials to discuss key issues and development of the industry.
Sources say most likely a general insurance joint venture-KIWI General Insurance- between WestBridge Capital and Neelesh Garg, former MD and CEO of Tata AIG General Insurance, will be receiving its license.
This will be the Bengaluru-based private equity firm’s second investment into the insurance sector following its successful part-exit from Star Health Insurance through its IPO in 2021.
WestBridge Capital currently holds around 40 percent in Star Health Insurance and will be having stake of more than 60 per cent in the new joint venture.
To be headquartered in Bengaluru, KIWI General Insurance has already started building up its manpower by hiring from other other general insurers.
Other players, who are waiting for licenses are- a general insurance joint venture among Qatar Insurance Group, Sam Ghosh’s Cosmea Financial Holdings and a few other investors, M Pallonji Group’s general insurance company with True North and other investors.
Quite a lot of prospective players are in a wait and watch mode for the Insurance Amendment Act, which will have a host of incentives for new players, to be tabled in the monsoon session of the Parliament, to apply for their licenses from the IRDAI.