Over two months after Debasish Panda’s tenure as chairman of the Insurance coverage Regulatory and Improvement Authority of India (IRDAI) ended on March 13 this yr, the federal government is but to announce a brand new chief for the highest submit within the regulatory physique.
The federal government marketed for a brand new chairman for Hyderabad-based IRDAI, simply 4 days earlier than the tip of Panda’s tenure. “Ideally a brand new chairman ought to have been appointed on the day Panda retired. Insurance coverage is a crucial sector. Its chairman must be guiding the sector at a time when the federal government has allowed 100 per cent FDI within the insurance coverage sector and the federal government is pushing for ‘insurance coverage for all by 2047’. Lots of the reforms within the sector are pending for the arrival of the brand new chairman,” mentioned an insurance coverage sector official.
The insurance coverage sector, which mobilised a whopping Rs 7 lakh crore as premium earnings in FY25, is a key participant within the nation’s development because it’s a number one investor within the nation’s capital market and authorities securities.
The federal government appointed Sanjay Malhotra because the Governor on the Reserve Financial institution of India (RBI) in December 2024 and Tuhin Kanta Pandey because the Chairman of the Securities and Change Board of India (SEBI) in March 2025 with out losing time and so they took over the very subsequent day after their predecessors’ tenure ended.
In the meantime, the federal government on Wednesday appointed Ratnakar Patnaik, Govt Director (Funding – Entrance Workplace) & Chief Funding Officer, and Dinesh Pant, Govt Director (Actuarial) because the Managing Administrators of the Life Insurance coverage Company of India (LIC), the most important monetary establishment within the nation.
The IRDAI is awaiting its new chairman at a time when medical health insurance premium is rising sharply within the wake of upper medical inflation and claims. Additional, the federal government can also be planning to go for main reforms within the insurance coverage sector and IRDAI has appointed a committee to look at the reforms within the sector.
The non-life insurance coverage sector had reported a gross premium earnings of Rs 3.07 lakh crore for FY25 and the life sector mobilised Rs 3.97 lakh crore as premium earnings.
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The business is awaiting the launch of Bima Sugam, introduced throughout Panda’s tenure, an formidable platform aimed toward democratising insurance coverage in India, probably changing into the primary of its variety globally. This single-window digital platform will function a complete market the place customers can evaluate, buy, and handle insurance coverage insurance policies throughout life, well being and normal insurance coverage sectors.
As within the case of the RBI and capital market regulator SEBI, the federal government is more likely to think about one of many serving prime bureaucrats or a retired particular person for the IRDAI chairmanship.
Whereas all of the picks for the highest posts of regulatory our bodies are purported to be finished by the Monetary Sector Regulatory Appointment Search Committee (FSRASC) headed by the Cupboard Secretary, each the current appointments – RBI Governor and SEBI Chairman – have been finished instantly by the federal government with out holding any interviews.
Candidates for the IRDAI prime submit ought to ideally have not less than 30 years of related work expertise, ought to have labored as Secretary to Authorities of India or its equal degree in Authorities of India or state authorities or different establishments. They need to have had a confirmed observe file of management and authority in decision-making. Candidates from the personal sector ought to have labored as CEO or equal of a big monetary establishment.
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The appointment can be made by the Central authorities on the advice of the FSRASC. The committee can also be free to establish and suggest, primarily based on advantage, any particular person apart from those that have utilized for the workplace. In respect of excellent candidates, the committee may suggest leisure in eligibility, {qualifications} and expertise standards.
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