Laws and sections by number or title, due dates, pages, and updates.
The Insurance Regulatory and Development Authority of India clarifies that insurers must accept cash as payment for insurance premiums when customers choose that option. Some insurers do not accept cash at branch offices. Insurers must allow the customer to select the payment method. Insurers must follow Regulation 3 of the Insurance Regulatory and Development Authority (Manner of Receipt of Premium) Regulations, 2002. Insurers must still follow anti-money laundering and combating the financing of terrorism rules.
What you must do
Key dates
Who is affected
Ask about this circular
[Image omitted. See the official document.]
IRDAI/LIFE/CIR/MISC/ 115 /05/2020
12/5/2020
To All the Insurers,
Reference is invited to the Regulation No. 3 (a) of Insurance Regulatory and Development Authority (Manner of Receipt of Premium) Regulations, 2002 (Hereinafter referred to as "Regulations") wherein it is prescribed that "Cash" is one of the manners of premium to be paid by any person proposing to take an insurance policy or by the policyholder to an insurer.
It has come to the notice of the Authority that some of the Insurers are not accepting 'cash' as premiums in their branch offices.
While Insurers may encourage policyholders to avail of the digital or other non-cash options, the final choice should always be left to the customer subject to AML/CFT requirements. In view of the above, it is reiterated that Insurers shall adhere to the provisions of Regulation 3 of the said Regulations in letter and spirit.
This Circular is issued in exercise of the powers vested under Section 14 (2) (e) of IRDA Act, 1999.
[Image omitted. See the official document.] (K. Ganesh) Member (Life)
Sy No 115/1, Financial district, Nanakramguda, Gachibowli, Hyderabad-500032 Phone: 91-040-2020 4000
