Page 51 - Insurance Times November 2021

3. Insurers may note that the revised instructions shall Actuary) Regulations in the year 2017 and considering im-
come into effect from the financial year 2021-22 and portance of role of Appointed Actuaries in an insurance com-
the uploading of disclosures on website shall be on pany, a need has been felt to review these Regulations.
quarterly basis from the period ending 30th September, In this regard, a Committee has been constituted with the
2021 whereas publishing in Newspapers will be on half following members:
yearly basis from the period ending 30th September,
1. Mr. D Sai Srinivas, Chairperson of the Committee.
2021. The insurers may also make the quarterly
disclosures in the revised formats for the period ending 2. Mr. Varun Gupta, Member
30th June, 2021 on voluntary basis on their websites. 3. Mr.SharadS Ramnarayanan, Member

4. The insurers are hereby, directed under Section 14 (2) 4. Ms. R Padmaja, Member
(e) of the IRDA Act, 1999 to take necessary action to
5. Ms. PreetiChandrashekhar, Member
ensure compliance with the public disclosures
6. Mr. C S Kumar, DGM (Actuarial), IRDAI, Member
requirements as indicated in Annexure A, from the FY
Convenor.
2021-22.
Terms of reference of the Committee shall be as follows:
S N Rajeswari 1. To study global practices on system of Appointed Actu-
Member- F&A (In-charge) aries or Statutory Actuarial positions in terms of duties,
functions and eligibility conditions for appointment of
Committee for review of IRDAI (Ap- Appointed Actuaries or similar statutory position, as ap-
plicable.
pointed Actuary) Regulations, 2017
2. To review existing provisions of IRDAI (Appointed Actu-
ary) Regulations, 2017 and recommend suitable amend-
Appointed Actuaries play pivotal role in functioning of an ments to these Regulations considering the current and
insurance company. Procedure for appointment of an Ap-
future expected business environment.
pointed Actuary in an insurance company, his/her duties,
obligations, powers etc. are prescribed in the Appointed 3. The Committee may invite external experts for discussion
on need basis.
Actuary Regulations. Keeping in mindthe changes which have
happened in the business environment in the past few years Committee shall submit its report within 45 days from the
more particularly since notification of the IRDAI (Appointed date of this order.
Insurers can maintain current accounts in appropriate number of banks: Irdai

Insurance regulator Irdai on Wednesday said insurers can maintain current accounts in an appropriate number of banks
for premium collection and policy payments for the convenience of policyholders and ease of doing business. Insurance
Regulatory and Development Authority of India (Irdai) has issued the clarification in the backdrop of the RBI's circular on
"Opening of Current Accounts by Banks - Need for Discipline".

In the August 2020 circular, the RBI had instructed banks not to open current accounts for customers who have availed
of credit facilities in the form of cash credit (CC) / overdraft (OD) from the banking system. On a review, the central bank
in December last year permitted banks to open specific accounts that are stipulated under various statutes and instruc-
tions of other regulators/ regulatory departments, without any restrictions placed in terms of the August 2020 circular.
"Based on the requests received by the Authority, to avoid hardships, if any, faced by the insurers in maintaining current
accounts with banks, it is clarified that the respective insurers may maintain current accounts in an appropriate number
of banks for the purpose of premium collection, management expenses, policy payments, investment operations, etc.,
for the convenience of the policyholders and for the ease of doing business," Irdai said.
Insurers maintain separate current accounts with banks at different operational levels (Branch offices, Controlling
offices, Corporate office) for different purposes, including, premium collection, management expenses, policy pay-
ments, investment operations. Maintenance of current accounts at different operational levels for specific purposes
helps the insurers in managing funds, reconciliation of transactions and servicing claims of policyholders efficiently, Irdai
said. The regulator also said the audit committee of the insurers shall review annually the need for having multiple
current accounts and rationalisation, if any, as may be required.

The Insurance Times, November 2021 51