Demat of insurance policies: LIC mulls creating its own repository

Dematerialisation of insurance policies is being promoted by the regulator to ensure robust electronic mode of policy solicitation, servicing, and storage

After the Insurance Regulatory and Development Authority’s (Irdai’s) nudge to insurers to dematerialise existing and new insurance policies, state-owned Life Insurance Corporation (LIC) is said to be exploring all options, including creating its own repository, before taking a final call on the matter.

“We will look at all available options before taking a decision,” M R Kumar, chairperson, LIC, told Business Standard.

Currently, there are four insurance repositories: NSDL National Insurance Repository, CDSL Insurance Repository, Karvy Insurance Repository, and CAMS Insurance Repository Services.

Insurance repositories are companies that maintain the data of insurance policies in electronic form on behalf of