Page 49 - Insurance Times August 2020

Circular

IRDAI Circular

Filing of “Arogya Sanjeevani Policy” as health insurance business” (Ref: IRDA/HLT/REG/
CIR/194/07/2020 dated 22nd July, 2020)
group health insurance product
e. This group product shall comply with all other
IRDAI/HLT/REG/CIR/197/07/2020 applicable norms stipulated under “consolidated
Date:24-07-2020 guidelines on Product filing in Health Insurance
business” (IRDA/HLT/REG/CIR/194/07/2020 dated
1. Reference is drawn to Clause 8 of Section 3 of “Master 22nd July, 2020).
Circular on Standardization of Health Insurance 3. This has the approval of the competent Authority.
Products” (Ref: IRDAI/HLT/REG/CIR/193/07/2020 dated
22.07.2020) vide which all the general and health D V S Ramesh
insurance companies (insurers) were mandated to offer General Manager (Health)
standard individual health insurance product, “Arogya
Sanjeevani Policy”.
Transfer of Shares of the Insurance
2. In partial modification of the above referred guidelines,
Insurers are hereby allowed to offer this product also Companies
as a group product by duly complying with the norms IRDA/F&A/CIR/TRSH/195/07/2020
specified hereunder.
a. Insurers are allowed to use the standard product Date:23-07-2020
name for the group policy after adding the word The provisions relating to transfer of shares of insurance
“group” provided all terms and conditions as companies are governed by section 6A of the Insurance Act,
applicable to the standard individual policy remain 1938 read with IRDAI (Transfer of Equity Shares of Insurance
the same except premium rate and specification on Companies) Regulations, 2015 and IRDAI (Listed Indian
operation of group policy.
Insurance Companies) Guidelines, 2016.
b. Insurers are allowed to set their own minimum and With a view to bringing more clarity on certain issues
maximum sum limits under this group policy, relating to transfer of shares of insurance companies by
subject to the board approved underwriting policy. promoters/shareholders, the Authority in exercise of the
The mandate of offering sum insured in multiples powers under sub-section (1) of Section 14 of IRDA Act, 1999
of Rs 50000 (Rupees fifty thousand only) is not read with Regulation 10 of IRDAI (Transfer of Equity Shares
insisted for the group product.
of Insurance Companies) Regulations, 2015, hereby issues
c. The insurers shall determine the price keeping in the following circular: -
view the cover proposed to be offered subject to A. Transfer of Shares – Listed Insurance
complying with the norms specified in the IRDAI
(Health Insurance) Regulations, 2016 and Companies
Guidelines notified thereunder. 1. Transfer of Shares of more than 1% and up to 5% of
d. The product shall be filed on Use and File basis by the paid up share capital:
duly complying with the norms specified in Chapter (i) For acquisition of more than 1% and up to 5% of
IV of “consolidated guidelines on product filing in the paid up share capital along with the existing

The Insurance Times, August 2020 49