Death benefit upped to 7x under Irdai draft norms for regular life products

Single premium death benefit raised to 1.25x, as regulator focuses on innovations in product structures and marketing

The Insurance Regulatory and Development Authority of India (Irdai) in a late notification on Friday evening notified new draft product guidelines for linked and non-linked life insurance policies. One of the significant changes brought under these draft guidelines includes increasing the minimum death benefit to seven times for regular premium products and to 1.25 times for single premium products for all ages. 

"There were significant changes in the trends in product structures driven by the customers’ needs, wants and preferences...Apart from this, innovations in the methods of placing the products in the market, coupled with innovations in product benefits and