The Insurance Regulatory and Development Authority of India (IRDAI) has issued a draft detailing the Public disclosure norms.The draft requires insurers to share details about their financials performance at specified intervals.These norms are proposed to be implemented from 2019-20.
IRDAI has said that the objectives of the norms is to (a)ensure safety of policyholders (b)serve as a tool to assess risk exposure of an insurer (c)educate investors on the company’s financial performance such as financial position,risk exposure,corporate governance and management (d)measure orderly growth of the insurance sector and (e)uniformity in the performance indicators.
The IRDAI is an autonomous,statutory body created by IRDA Act,1999.It was created based on the recommendations of the Malhotra Committee.It’s headquarters is in Hyderabad.
It has 10 members consisting of a Chairman, five whole-time members and four part-time members, appointed by the Government of India.
The functions of IRDA includes (a)regulating the insurance industry and protects the customers (b)promotion of competition to enhance customer satisfaction and (c)lowering premiums for ensuring the financial security of the insurance sector.