IRDA (Obligations of Insurers to Rural Social Sectors) Regulations, 2002

THE GAZETTE OF INDIA E>-.'TRAORDINARY INSURANCE REGULATORY AND DEVELOPMENT AUTIIORITY I\OTiflCATIO'\ Ne,, Dcllu the 16th October 2002 IP,\RT 111- S, · ➔) Insurance Rcj?ulntor~ and Dc,·clo11mcnt Authurit~ (Ohligation, of ln,urcr, to Rural Social Sector,) Regulations, 2002 F. No. IRDA/Rcg./10/2002.-ln exercise oft he po\\ers conferred b~ Sccuon nc read "llh Section :nB of the Insurance Act. 19,X (➔ of t lJ,8) the Au1hon1, m consulla1ton "uh the Insurance Ad, t'-Of\ Commillcc hcrcb, makes the folio" 1ng rcgula1tons to subs111111e the Insurance Regulatory and Dc\l:lopmen1 Authori1~ 1Obliga1tons of Insurers 10 Rurnl Social Sectors) Rcgulauons 2000. namch - 1. Short title and commencement. - (I) These regulations may be called the Insurance Regula!~(),' and Development Authority (Obligations of Insurers to Rural or Social Sectors) Regulations, 2002. (2) They shall come into force from the date of their publication in the Official Gazette. 2. Definitions. - In these regulations. unless the context otherwise requires - (a) ··Act" means the Insurance Act, 1938 (4 of 1938); (b) "Authority" means the Insurance Regulatory and Development Authorit) established under the provisions of section 3 of the Insurance Regulatory and Development Authority Act, 1999 (41 of 1999);• (c) "Rural sector" shall mean any place as pe• the latest census which meets the following criteria- (i) a populaJion of less than five thousand; (ii) a density of population of less than four hundred per square kilometer; and (iii) more than twenty five per cent of the male working population is engaged in agricultural pursuits. Explanation :- The categories of workers falling under agricultural pursuits are as under: (i) Cultivators; (ii) Agricultural labourers (iii) Workers in livestock,Jorestry,fishing, hunting and plantatio11s, orchards and allied activities. (d) "Social sector" includes unorganised sector, infonnal sector. economically vulnerable or backward classes and other categories of persons, both in rural and urban areas; (e) "Unorganised sector" includes self-employed workers such as agricultural labourers, bidi workers, brick kiln workers, carpenters, cobblers, construction workers, fishennen, hamals, handicraft artisans. handloom and khadi workers, lady tailors, leather and tannery workers. papad makers, powerloom workers, physically handicapped self-employed persons, primary milk producers, ricksha,.,. pullers. safai kannacharis. salt growers, seri culture workers, sugarcane cutters, tendu leaf collectors, toddy tappers, vegetable vendors, washerwomen, working women in hills, or such other categories of persons .• (f) .. economically vulnerable or backward classes" means persons who live below the poverty line; (g) ··other categories of persons" includes persons with disability as defined in the Persons with_ Disabilities (Equal Opportunities, Protection of Rights, and Full Participation) Act, I 995 and "'ho ma) if>t be gainfully employed; and also includes guardians who need insurance to protect spastic persohs or persons with disability; {h) "informal sector" includes small scale, self-employed workers typically at a low /el•el of organisatio11 and technology, with the primary objective of generating employment and ittcome, with ltetero,::.eous £ ,rr Ill-~ -1 f ,1dll'it1<·, Ii/..,• re111il /rude, tr1111 .. por1, rep11ir 1111d 111ui11IL'lllllll'1, co11s1ructio11, fll!/'\111111/ 1111tl dome.\fh ,en·ice., ,111,I 111,11111/11d11rin;:, 11·it/, th, 1 11·or/.. 1110\'I(\' /11ho11r intcn ,fre, h111'in;: often 11n11•ri11en 11ntl i11for11111I ,·11111/01 er-e1111ilt1_rl!e re/11ti(l/l\lt1p; , , \I ""rJ, .11:J ,·,pa,')"""' us,J l•,•n:,11 .mJ 11<11 ,klini:J hcai:111 h.11 Jdin.:J in the l11,ur:111.:c ,\\.:l. lll~S I ➔ ,,1 1,,-;;, 1. "' ,, th,· [nq1ra11,·,· lh·;:'t1l.11ur) u,1J ! 1..:, ._.t.,l'llll.'lll \u1h,1l'il) \,:1. I 99,; \-l I of I '.11N). sh:111 h;11.: lhi: nwa11111g~ rcspel'ti, cl~ ·"'l);ll<'d ,,, th,·111 Ill lh,,~t· ,\,:t, . . \, Ohhga1ion,.--- t:, t:r) nsurc.:r, 11 ho b.:g111s 10 carr) 01 insurance b11sine,s aflcr 1he co11Hncncem.:11t 01 th,· 111,111.111,·t• Rcgul.11,>1) and 0.:1,cl1.1pll1t'l1l ,\l1thori1~ All, 19()() (..JI or 1999), <:hall. for the rurpo:..:s lll , ..,.,.,i,lll~ J2B .1nJ J2C ur the u:1 ,•:isure that Ill' undertakes the toll111\111~ ohligations. during 1he tirs1 tiw li:t.11k 1.tl ~ .:ar,. p.:n,1111111g 1t1 th.! Jk'1:-1111s in--- I 11 rural ,ei:lor, 11 111 r.:,pe,'I o!' ,1 /1/1' i11s111·,·r. - ti) .w,·1!11 pcr,·c111 in 1h.: tii·~r lin.111u.1l )e:ir; till llllll' per t·enl in the -;c.:cc nJ tinanual )ear: (Ill) lwe/~•t! p,•r ce·11 i11 thl.! 1lmJ fin,mtial >''"r: (I\ l Fo11rtee11 per l.'ent 11111c fourth lin.tnl'ial )t.:.ir: ( \ 1 \'i.\lL'l!II p,·1 cu11 111 1ht lirth }ea,~ 1i1l 1111,·,p.:ct ,,t .i ,!,'ll,1r,,I 111.1111','r.-- ( ! 1 t\\o per cent in the tirst tlnam:1al )Car: t II) tlHt'e per cent in the secom. financial year: llll) li\e per ct'nl rhcre after. d,J :..oc1al " :ctor. in rc~pcct o!'all insur.:rs. -- ti) ti,c thousanJ lives in tl•e lirs1 linanl.'inl yc..1r; (II J ~e,en rhousand fi,.: hu11dri:J li,e-. in the second financial ycar: ( 111) ten thous:111.t I ves 111 the third lina11cic1l year; (I \ I tilkcn 1hnth,111d lilc~ i 1111e ti,mtli lin,tnci.-il ),·,tr: (V) 111ent) tllllus,rnd liv1.:s in 1hc linl1 :car: 1'11111d.:,1 1h.11 111 1111.· tir,t financial )car. 1\hc:rl! 1ht! ixr od or t'pcra1t1,n 1s lcss th::!n i\\t.:he mont11~. 11n1p,irun11,11,· pcrecntagt· or m mbc1 or l1ws. as 1hc c.1:-e ma) bl.'. shall be undenakcn. Jlr," 1Jc>d further that. in 1.-;1sc 11f a gcneral in.,urcr. rhe obi igation~ spcl.'ilicd shall include insurancc It, r crnps. 1'1\1111.!'-'d ll1r1hc1 that the A .11ho11l) may l1lHmall). ,me~ 111 ever) tivc years. prescrih.: or l't'\ ise 1h~ ,1bliµa1it•1h ,is ,pe1.·di.:d m tht~ Rq.\11latil,n. -t Obhg,11io11~ of l'\i!>ting imurcrs.--- (I) lhc ohlii;a11lms of .:.,isling ill!,urers ,b on th1.: d.-i1c ,,,- ,11111111.:ne,·m.:111 of IRD•\ \ct shall bc de,idcd b~ the /\'.11h0i:1) a her .. on::.1111.ttion \\ ith thcm Jnd the quJnlL1111 ,,1· in~ur;m,·e b11si111!:,:, 10 be J)nc shall nm be h:ss than 1\h, l has been recorded by 1hem for tht.> ,t1.co11111i11g ~e.11 er.di:,!, I'' ~lard1. ~UO:? (21 ·1 he t\Lah1,ri1~ ,1lall 1c1i:.:\1 11..!1 quantum or i11sun111c,· bw,iness pcriodicall) and give dinxllOlb 10 1hc 111~111,•r~ tiir .i, l11e1 ing. thl.' ~pe,·1ticd t.irg.:ts. ~ HA '-G .\Cl !ARY Ch;un11a1 , I \0\ 7 111,1\ 11,1,'.!0021r 1~ 1 1'1 111h:d \,, ll~"" \ 1,t1',l1!1.'I ( '"' 1 ,,! I 11d1 ,I l11 """'· I( 111 I {0.1d \ l.t\ .q1111 I. ',.:\\ I )r..·1111- l ) IHH\ l .u,.t PuM1,lh.-.l 1,, 1h1.· t ',,11:11,11,:r "' t 111l1li,,.:.1t1t1,1, D-.:llu•• llJO"i.,J 5