New IRDA chief Vijayan meets Chidambaram

NEW DELHI: The newly-appointed chairman of the Insurance Regulatory and Development Authority T S Vijayan has met Finance Minister P Chidambaram and is believed to have discussed the issues plaguing the insurance sector.

"He (Chidambaram) met the Irda chief on Sunday," Ministry sources said.

Vijayan, who took over as Irda Chairman from J Hari Narayan last week, paid a courtesy call to the Finance Minister and is believed to have touched upon the problems concerning the industry.

Vijayan had earlier served as chairman of the Life Insurance Corporation ( LIC).

The insurance sector has been witnessing subdued growth in the recent past and it is likely that Finance Minister might announce some steps to boost its growth in the budget for 2013-14, to be unveiled by him on Thursday.

Earlier this month, Chidambaram had asked insurance companies to refrain from mis-selling and devise simple products for people to boost growth in the sector.

Besides, the issue of raising foreign direct investment ( FDI) cap in the insurance sector from 26 per cent to 49 per cent has been pending in Parliament since 2008. The Insurance Bill has been listed in the agenda for the ongoing Budget session.