Irdai grants 3-month moratorium on term loans sanctioned by insurers

The RBI had issued directions on March 27, 2020 and asked banks, non-banks to provide moratorium on term loans for a period of three months starting from March 1, 2020

Following in the footsteps of the Reserve Bank of India, the Insurance Regulatory and Development Authority of India (Irdai) has said insurers can grant a moratorium of three months towards payment of installments of term loans sanctioned by them falling due between March 1, 2020 and May 31, 2020.

“The Authority has received representations from industry associations seeking moratorium on repayment of term loans sanctioned by the insurers, in the context of outbreak of Covid-19”, Irdai said.

The RBI had issued directions on March 27, 2020 and asked banks, non-banks to provide moratorium on term loans for a period of