Irdai mulls SFIO-like independent agency to probe cases of insurance fraud

Insurance Fraud Investigation Agency proposed via Insurance Act amendment

The Insurance Regulatory and Development Authority of India (Irdai) is considering a recommendation to set up an independent investigation agency to probe cases of insurance fraud. This agency, if formed, shall be similar to the Serious Fraud Investigation Office (SFIO), which probes corporate fraud and comes under the Ministry of Corporate Affairs (MCA).

The proposed agency has been recommended by a working group -- constituted by Irdai and insurance councils -- that had representation from both insurance regulator and industry. Such an agency shall be called Insurance Fraud Investigation Agency; its creation has been recommended by amending the Insurance Act,