Laws and sections by number or title, due dates, pages, and updates.
General insurance companies must use the Electronic Transaction Administration and Settlement System for the settlement of co-insurance balances. All insurers must carry out reconciliation of all outstanding co-insurance balances through the system. Insurers must apply the system for all transactions from 1st April, 2018 onwards. Insurers must also advise statutory auditors to comment on the implementation of the system and adherence to timelines.
What you must do
Key dates
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[Image omitted. See the official document.]
Ref: IRDA/NL/CIR/MISC/101/06/2018
Dated: 27th June 2018
CIRCULAR
ALL CEOs/CMDs of General Insurance Companies
Re: Electronic Transaction Administration and Settlement System (ETASS)—Co-insurance Module
The General Insurance Council, as you are all aware, has been entrusted with the administration of the Electronic Transaction Administration and Settlement System (ETASS). Recently, the status of implementation of the Co-insurance Module of ETASS was reviewed by us and we are glad to note that considerable progress has been made in its implementation. However, the module needs to be fully implemented and indeed it would be necessary for all insurers to be on board fully in order to make ETASS a complete success.
In this backdrop, kindly note the following:
(1) Clause 8 of IRDAI Guidelines on ETASS bearing Ref: IRDA/NL/ETASS/RIN/103/05/2015 dated 11th May, 2015 stipulates that all insurers shall comply with the Guidelines and that when it comes to implementation, all the members shall adhere to the rules, guidelines and operational framework of ETASS as prescribed by the Administrator from time to time. All insurers shall necessarily use ETASS for settlement of coinsurance balances due and carry out reconciliation of all outstanding co-insurance balances through ETASS alone. Please ensure that this is carried out without fail in respect of all transactions carried out from 1st April, 2018 onwards;
(2) Target dates for ETASS activities have been mandated by the Administrator. In order to ensure speedy settlement and reconciliation of balances, it would be necessary for insurers to adhere to the timelines laid down. Insurers may bear this in mind when audit is carried out and ensure that statutory auditors are advised to comment on the implementation of ETASS including adherence to timelines.
Please acknowledge this circular and confirm having noted the contents.
[Image omitted. See the official document.]
(P.J.Joseph) Member (Non-life)
सृve सं. 115/1, वित्तीय जिला, नानकरामगुडा, हैदराबाद-500 032. भारत दूरभाष: +91-40-2020 4000, फैक्स: +91-40-2020 4555 वेबसाइट: www.irdai.gov.in
Survey No 115/1, Financial District, Nanakramguda, Hyderabad-500 032 India. Tel: +91-40-2020 4000, Fax: +91-40-2020 4555 Website: www.irdai.gov.in
