A Composite Broking Licence from the Insurance Regulatory and Development Authority of India (IRDAI) is being provided to Hero Insurance Broking India Pvt. Ltd. (HIBIPL). It will allow the firm to offer reinsurance broking and risk management consultancy services to corporate clients.
Highlights
- This will increase the insurance penetration in the country.
- With this new composite license, the firm will provide major benefits in manufacturing insurance and other employee insurance.
- The firm serves in around 2,700 locations across the country through field agents selling policies through a point of salesperson (POSP) model.
About Reinsurance broking
A reinsurance broker is an intermediary individual or firm who is paid a fee or commission to find and place new business on behalf of both the insured client and insurer. This can involve negotiating rates or contracts while sourcing the best-suited policies on the market.
About Composite Broking:
Composite brokers are a combination of direct brokers and reinsurance brokers and therefore have a double role. The minimum capital requirement for composite brokers is at least Rs. 5 crore, along with maintenance of a net worth of 50 percent of the minimum capital requirement.
IRDAI Permits Insurers To Sell & Renew short term COVID-19 policies:
Insurance Regulatory and Development Authority of India (IRDAI) allowed insurers to continue selling and renewing short-term Covid-19 specific health insurance policies till March 2022.
The exemptions granted general insurers for issuance of electronic policies as well as dispensing with physical documents and wet signatures have been extended up to end-March 2022.
Background
- In 2020, IRDAI has allowed the companies to sell Corona Kavach Policies (Standard Indemnity based Health Policy) and Corona Rakshak Policies (Standard Benefit based Health Policy).
- These policies are short term in nature, which has attracted a huge customer base due to its low premium base.
About Hero Insurance Broking India limited
Principal Officer– Sanjay Radhakrishnan
Headquarters- New Delhi
About Insurance Regulatory and Development Authority of India (IRDAI)
Founded- 1999
Headquarters– Hyderabad, Telangana
