Only a few proposals get Irdai nod under regulatory sandbox structure

The Insurance Regulatory and Development Authority of India (Irdai) has approved 33 proposals from various non-life insurance companies under the regulatory sandbox structure. As many as 173 proposals were received by the regulator in one month for which the window for applying was open.

The period of approval for the proposals is from February 1 to July 31, the insurance regulator said.

Interestingly, no life insurance company could make it to the approved proposals under the regulatory sandbox structure.

Among the proposals approved, the health insurance segment has got 19 approved proposals.

Bharti Axa General Insurance, Tata AIG General Insurance, Go Digit General Insurance, SBI General Insurance and Bajaj Allianz General Insurance have each got one proposal approved.

Meanwhile, Max Bupa Health Insurance got three proposals approved, Star Health Insurance got two, Religare Health Insurance four, Kotak Mahindra General Insurance three and ICICI Lombard General Insurance has two.

As many as 11 proposals from the motor insurance segment received the insurance regulator’s nod with Bharti Axa General Insurance, Tata AIG General Insurance, Go Digit General Insurance, Acko General Insurance, Bajaj Allianz General Insurance, Liberty General Insurance, Edelweiss General Insurance and Reliance General Insurance each getting one proposal accepted.

These are under the usage-based motor insurance, pay as you drive, private car policy and own damage section.

Moreover, under the motor floater segment, Edelweiss General Insurance, Reliance General Insurance and ICICI Lombard General Insurance got their proposals approved.

Audatex Solutions got three of its proposals accepted under the category of distribution development.

The Irdai brought in the regulatory sandbox structure to strike a balance between the sector’s development and protection of interests of policyholders.

The regulator had said, if required, it will also relax one or more provisions of the existing regulations to facilitate creation of the sandbox environment.

The sandbox propositions may not fall under the scope of existing regulations and some existing regulatory provisions may need to be relaxed.

However, the maximum period for which the relaxation is granted will not exceed one year.