Page 50 - Insurance Times April 2021

Circular

IRDAI Circular

Issuance of digital insurance policies by Technology shall provide necessary technical guidance
and logistic support to facilitate adoption of Digilocker.
insurance companies via Digilocker
A brief for on-boarding documents and contact details
IRDAI/ INT/ CIR/ DGLKR/ 030/ 02/ 2021 of resource persons in NeGD is annexed.
Date:09-02-2021
T.L. Alamelu
Member (Distribution)
1. Digilocker is an initiative under the Digital India program
by the Government of India where citizens can get
authentic documents/ certificate in digital format from Product Structure for Insurance of
original issuers of these certificates. It aims at Remotely Piloted Aircraft System (RPAS) /
eliminating or minimising the use of physical documents Drones
and will enhance effectiveness of service delivery,
making these hassle free and friendly for the citizens. IRDA/CIR/MISC/031/02/2021

2. In the insurance sector, Digilocker will drive reduction Date:11-02-2021
in costs, elimination of customer complaints relating to
non-delivery of policy copy, improved turnaround time 1. Currently, only a few general insurers in the Indian
Market are offering insurance cover for RPAS/Drones
of insurance services, faster claims processing and
through existing products under Aviation Insurance.
settlement, reduction in disputes, reduction in fraud and
Considering the unique characteristics of Drones that
improvement in customer contactability. On the whole
differentiate them from other aircrafts and taking into
it is expected that it will lead to better customer
account the phenomenal growth in the usage of Drones
experience.
for multiple purposes, there is a need to augment the
3. In order to promote the adoption of Digilocker in the current insurance availability customized to the
insurance sector, the Authority advises all insurers to requirement of drone owners and operators.
enable their IT systems to interact with Digilocker
2. In line with the above objective of making basic
facility to enable policyholders to use digilocker for
insurance covers available by the general insurers for
preserving all their policy documents.
Drones and to facilitate flexibility and innovation in the
4. The insurers should inform their retail policyholders development of insurance coverage for evolving
about Digilocker and how to use it. Insurers are also technology requirements, the following product
advised to enable the process by which the policyholders construct is provided.
can place their policies in the digilocker. a. Section I: Legal Liability to Third-Party.

5. Digilocker team in NeGD (National e-Governance Indemnify the insured against its legal liability
Division) under Ministry of Electronics and Information (including Defence Costs) to pay Damages, for third

50 The Insurance Times, April 2021