Insurance regulator IRDA panel to look into health products, other issues

NEW DELHI: Insurance sector regulator Irda has constituted a committee to address a host of issues related to health insurance segment.

"A need has been felt to visit/re-visit various areas in the framework applicable for health insurance to ensure level playing field for the industry as well as rationalise various provisions," the Insurance Regulatory and Development Authority (Irda) said today.

"The committee shall examine the existing framework for regulating health insurance business on various relevant areas," it said.

Among others, the terms of reference of the 11-member committee will include health insurance product distribution, reinsurance in health sector, place of health in rural and social sector obligations, mergers and acquisitions, solvency approaches, actuarial matters, investment and financial matters and regulatory aspects.

The committee, chaired by IRDA member M Ramaprasad, is expected to finalise its report with recommendations within two months.

Health insurance, a business interest for both life and non-life insurance companies apart from stand-alone companies, is one of the fastest growing segment in last few years with premium of nearly Rs 17,500 crore as on March 2014.

The first stand-alone health insurance company was established in 2006. Presently there are five such companies in the country.