Insurance regulator IRDAI has proposed the formation of online insurance platform ‘Bima Sugam’ keeping in mind the convenience and needs of the policyholders.
This platform will be helpful in increasing the availability and reach of insurance products. According to language news, the Insurance Regulatory and Development Authority of India has said in one of its draft proposals that this initiative has been taken to empower the policyholders and protect their interests.
Comments invited till March 4
According to the news, IRDAI has invited comments till March 4 on the draft of Insurance Regulatory and Development Authority of India (Bima Sugam – Insurance Electronic Market Place) Regulations, 2024.
The draft states that the purpose of formation of the insurance market is to increase the penetration of insurance in India and increase its availability, reach and feasibility. Bima Sugam will serve as a one-stop solution for all insurance stakeholders, customers, insurers, intermediaries or insurance intermediaries and insurance agents.
Vision of insurance for all
It will promote transparency, efficiency, collaboration and technological innovation across the entire insurance value chain. It will make insurance universal and democratized and achieve the vision of insurance for all by the year 2047.
According to the draft proposal, Bima Sugam will be a non-profit company. The regulatory framework for its establishment, operation and functioning states that the company will establish, facilitate, develop, operate and maintain a market to provide various services to insurance stakeholders.
The shareholding of this company will be broadly held by life, general and health insurance companies and no single entity will have a controlling stake. Shareholders will contribute capital if needed. According to the insurance regulator, Bima Sugam – Insurance Electronic Marketplace is a robust digital public infrastructure or protocol with open standards and interoperable platforms.
