Insurance Regulatory and Development Authority (IRDA) set up as autonomous body under the IRDA Act, 1999 to protect the interests of policyholders, to regulate, promote and ensure orderly growth of the insurance industry and for matters connected therewith or incidental thereto.

Micro Insurance IRDA

Insurance Regulatory and Development Authority (IRDA) has created a special category of insurance policies called micro-insurance policies to promote insurance coverage among economically vulnerable sections of society. The IRDA Micro-insurance Regulations, 2005 defines and enables micro-insurance.

A micro-insurance policy is:
 A general or life insurance policy with a sum assured of Rs 50,000 or less

A general micro-insurance product is any:
 Health insurance contract
 Any contract covering belongings such as
 Hut
 Livestock
 Tools or instruments or
 Any personal accident contract
 They can be on an individual or group basis

A life micro-insurance product is:
 A term insurance contract with or without return of premium
 Any endowment insurance contract or
 A health insurance contract
 They can be with or without an accident benefit rider and
 Either on an individual or group basis

There is flexibility in the regulations for insurers to offer composite covers or package products that include life and general insurance covers together

Intermediaries:
Micro- insurance business is done through the following intermediaries:
 Non-Government Organizations
 Self-Help Groups
 Micro-Finance Institutions

Attached Files

Micro Insurance IRDA.doc (30.0 KB, 63 views)