Ajay Seth,chairman,IRDAI
Seth asked the insurers to strengthen and establish service standards for market conduct, compliance, risk management, and internal audit functions, along with creating a standing forum at the Life Council to examine Court awards and derive learnings—helping establish uniform standards in solicitation, underwriting, policy servicing and claims practices
Hyderabad: Emphasising that exemption of 18 per cent GST(Goods and Services Tax) from retail Health and Life covers would open-up a big opportunity for insurers to increase coverage, penetration, and enhance product proposition, the newly appointed IRDAI chairman Ajay Seth asked the insurers ensure that the full benefit of this relief is passed on to policyholders.
`This long-standing demand from the insurance industry and policyholders has been addressed in its entirety. Now it is the industry’s turn to step up to significantly improve affordability, accessibility and availability of insurance products suitable for different segments of the population and economic entities. It is a great step towards achieving universal coverage by 2047,” Seth said.
Seth, after joining on Sept 1, had met the insurers and appointed actuaries for the first time in Hyderabad on Wednesday and held a detailed interaction on strengthening policyholder protection and orderly growth of the industry.
He asked the insurers to strengthen and establish service standards for market conduct, compliance, risk management, and internal audit functions, along with creating a standing forum at the Life Council to examine Court awards and derive learnings—helping establish uniform standards in solicitation, underwriting, policy servicing and claims practices.
Deliberations between Seth and insurers covered steps required to expand penetration beyond urban centres and reach out to the rural population and the unorganized sector and going beyond fulfilling obligations in rural and social sectors.
Special attention was drawn towards expanding the coverage of government sponsored insurance schemes for vulnerable sections, taking measures to improve service quality, including claims settlement in timely and efficient manner, and making grievance redressal mechanism robust and more responsive.
“These steps are aimed at building trust and widening access, making insurance simpler and more inclusive. Guided by the vision of Viksit Bharat by 2047, the sector has to advance towards stronger protection, innovation, affordability, and contributing towards nation building. Within this larger national aspiration lies the goal of Insurance for All by 2047—ensuring every citizen has adequate life, health, and property cover, and enterprises across the country are safeguarded with robust insurance solutions, and thereby laying the foundation for a resilient, secure and empowered India, Seth pointed out.