IRDA chief ticks off CII Insurance Council

IRDA chief ticks off CII Insurance Council
ENS ECONOMIC BUREAU

NEW DELHI, NOV 22: The Insurance Regulatory and Development Authority (IRDA) chairman N Rangachary on Wednesday ticked off the Confederation of Indian Industry (CII) for setting up an Insurance Council which, he pointed out, was the statutory function of the regulator.

Rangachary said section 64A of the Insurance Act provided for an insurance industry council to be set up in consultation with the government, with IRDA representatives as well. It would have certain statutory responsibilities, he added, and would operate through two broad branches life and non-life.

The council would be constituted shortly, he hoped, and invited the CII for close interaction with it.

He was addressing the fifth CII insurance summit on “The agenda ahead”. He was referring to the announcement earlier in the day by the CII to this effect. However, the CII clarified later that it did not intend to replace any statutory body. CII had many sector-specific associations, and the insurance association would primarily look into the issues in this sector.

He also mentioned that for years industry had been lobbying for liberalisation, and it had been not only assured but assured with the issue of four licences already. “The time to act is now,” he asserted, “and you are on test after a string of successes in other areas.”