Insurance regulator IRDAI has prolonged the scope of the ‘Use and File’ procedure to cowl more life insurance coverage products.
Essentially permitting insurers to launch a product first and then submit particulars to the regulator subsequently, the procedure has now been prolonged to group unit-linked insurance coverage products, particular person ULIPs that are supplied with new funds and combi products through which the life insurer acts because the lead.
“Now, life insurers can launch these products without prior approval, enhancing ease of doing business and encouraging swift response to the market demands. This will boost innovation in the products resulting in better choices for the customers,” IRDAI mentioned on Friday. In October 2022, the regulator had prolonged the ‘Use and File’ procedure to all time period insurance coverage products, particular person ULIPs with present funds and non-linked group insurance coverage products.
The new additions are primarily based on the suggestions from business and to facilitate insurance coverage penetration, IRDAI mentioned.
“This is a continuation of a series of steps the regulator has taken to strengthen insurance penetration in the country. This modification will enable insurers to increase their go-to-market speed and in turn help them stay in sync with the dynamic demands of today’s customers,” Edelweiss Tokio Life Insurance MD and CEO Sumit Rai mentioned.
