IRDA Monday asked insurers to mandatorily file a product planner in a prescribed format at least 45 days before the beginning of every financial year with a view to reduce the timelines for giving approvals to insurance products.
New Delhi: IRDA Monday asked insurers to mandatorily file a product planner in a prescribed format at least 45 days before the beginning of every financial year with a view to reduce the timelines for giving approvals to insurance products.
"It is hereby directed that every insurer shall file a Product Planner in the prescribed format...With the Authority, at least 45 days before the beginning of the each financial year i.e., before 15th of February of every year," IRDA said in circular today.
The Insurance Regulatory and Development Authority (IRDA) said there was a need for reducing the timeline for giving approvals.
In order to expedite the product approval process, IRDA, said it will require certain information from insurers to plan for resources available, to support planned filings and to ensure fairness across all the insurers while approving the products.
"Taking into consideration the receipt of huge number of file and use applications, the Authority felt a need to necessitate submission of a "Product Planner" by each insurer before the beginning of each year," it said.
Also, from the next financial year, if the products proposed to be filed in a financial year exceed five, the insurer shall furnish the supporting market research, product-wise persistently for 13th month, for 25th month, and 37th month as on 30th April of the previous year, it added.
IRDA said the circular comes into effect immediately.
"The Product Planner for the year 2013-14 shall be submitted by the insurers on or before April 30, 2013 and for the subsequent years it shall be filed on or before 15th of every financial year," it said.