The Authority had observed that the inter-company balances in reinsurance and coinsurance business are at a very high level and have been on a constant rise. In order to ensure timely and effective reconciliation of these balances and also to achieve transparency and for timely and efficient accounting and settlement of these balances, the Authority intends to establish, Insurance Clearing House to act as a clearing house for these transactions. All the Insurers and Reinsurers intending to do Reinsurance/Coinsurance business would be required to be members of the Insurance Clearing House.
The draft guidelines in this regard are attached herewith. Exposure Draft on ˜Guidelines for Insurance Clearing House™
The Authority invites comments and suggestions on the draft guidelines from all interested parties and stakeholders. The comments/suggestions may be sent in an email to Mr. Randip Singh Jagpal, Joint Director (Non-life) (email id: firstname.lastname@example.org) latest by 27th November, 2013.
Tags: Business, Clearing Houses, Financial services, Insurance, Insurance Regulatory, IRDA, Reinsurance