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ANNUAL REPORT 2011-12
and Faculty of Agent’s Training Institutes (ATIs)
vide Circular No. IRDA/ AGENTS/ ORD/17/JULY
2009 dated 3 rd July, 2009. The Authority has issued
Guidelines on licensing of corporate agents vide
Circular No. 017/IRDA/Circular/CA Guidelines/2005
dated 14 th July, 2005 and further issued IRDA
(Licensing of Corporate Agents) (Amendment)
Regulations, 2010 to incorporate regulatory provisions
for non compliance with regulatory framework
prescribed for corporate agents.
III.3.3 The Authority has also issued IRDA (Sharing
of Database for Distribution of Insurance Products)
Regulations, 2010 to streamline the tie-ups between
insurers and referral companies. The Regulation
also prescribes ceilings on remuneration payable
to referral entities and lays down the framework
under which the referral entities and insurers have to
conduct insurance business.
III.3.4 During the period under reference, the
Authority issued Circulars as indicated below:
Issued Circular No. IRDA/NL/GDL/
MISC/217/09/2011 dated 20 th September,
2011 prescribing persistency norms for agents
in order to ensure that the lapsation of life
insurance policies is reduced and effective
servicing of policies is carried out by the agents.
The persistency rate requirements prescribed
under this Circular will be effective for all agency
renewals that are due from 1 st July, 2014.
Issued Circular No. IRDA/Life/GDL/
AGN/266/12/2011 dated 7 th December, 2011
making applicable the minimum business
requirements set out by insurers for individual
agents and corporate agents engaged with nonlife
insurers.
Issued Standard Instructions and Guidelines for
approval/Renewal of Agents Training Institutes
(ATIs) vide Circular dated 7 th December, 2011
to ensure that only serious professional players
come into the business of ATI’s.
III.3.5 The Authority prescribed new syllabus for the
Pre-Recruitment Qualifi cation for life insurance agents
(IC-33). The Authority has successfully implemented
pre-recruitment qualifi cation for life insurance
agent’s (IC-33) with effect from 1 st October, 2011. On
thorough review of the existing life insurance agent’s
licensing qualifi cation, the Authority decided to utilize
the expertise of Chartered Insurance Institute (CII),
London in enhancing the existing syllabus of IC-33
“Pre-recruitment qualifi cation of life insurance agents”
of the Insurance Institute of India (III). The revised
IC-33 syllabus is available on the IRDA website
www.irdaonline.org in 11 regional languages (viz.,
English, Hindi, Gujarati, Malayalam, Marathi, Tamil,
Telugu, Kannada, Bengali, Punjabi and Urdu). The
same can be downloaded for free without incurring
any cost. The IC-33 pre-recruitment qualifi cation for
life agent’s syllabus covers the following main topics:
Understanding Insurance;
Providing Technical Product Information;
Providing Professional Advise;
Understanding Claims;
Fulfi lling Legal and Regulatory Requirements;
and
Understanding Customer Protection and Ethics.
This new course book and the revised qualifi cation
that agents will now acquire, is a vital part of the
Authority’s objective. IRDA has developed a syllabus
that is challenging in its scope and depth. It does
not simply encourage agents to memorise facts and
fi gures; but tests their understanding of the subject,
and ability to apply it in a wide range of practical reallife
situations. The process of providing professional
advice involves three stages:
Conducting the facts fi nding
Assessing and satisfying client needs
Making recommendations to clients
III.3.6 In exercise of the powers conferred by
section 42D, 64UM and 114A of Insurance Act,
1938 and section 26 of Insurance Regulatory and
Development Authority Act, 1999, the Authority
framed the Insurance Surveyors and Loss Assessors
(Licensing, Professional Requirements and Code
of Conduct) Regulations, 2000, in consultation with
the Insurance Advisory Committee. Section 114A
(2) (x) empowers IRDA to make regulations relating
to licensing of surveyors and loss assessors, their
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