The BIMA Sugam aims to establish a digital public infrastructure named Bima Sugam towards universalisation and democratisation of insurance.
New Delhi: The Insurance Regulatory and Development Authority of India (IRDAI) has given its approval for the setting up of the insurance e-marketplace Bima Sugam for buying, selling, and servicing insurance policies, as well as settling claims.
“This marketplace will serve as a one-stop solution for all insurance stakeholders, including customers, insurers, intermediaries, and agents, thereby, promoting transparency, efficiency, and collaboration across the entire insurance value chain,” according to an IRDAI statement.
Bima Sugam: Insurance Electronic Marketplace Regulations
The IRDAI said: “The Bima Sugam – Insurance Electronic Marketplace Regulations, 2024, aims to establish a digital public infrastructure named Bima Sugam towards universalisation and democratisation of insurance, as well as empowering and safeguarding policyholders’ interests and achieve the vision of ‘Insurance for all by 2047.’
IRDAI said that it has approved eight principle-based consolidated regulations following a comprehensive review of the regulatory framework for the insurance sector. It marks a significant milestone in regulatory governance, which has replaced 34 regulations with six and introduced two new regulations, enhancing clarity and coherence in the regulatory landscape, according to the IRDAI statement.
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These regulations encompass pivotal domains such as safeguarding policyholders’ interests, rural and social sector responsibilities, electronic insurance marketplaces, insurance products and the operation of foreign reinsurance branches, as well as aspects of registration, actuarial, finance, investment and corporate governance, the statement added.
Focusing on the rural sector, the IRDAI (Rural, Social Sector, and Motor Third Party Obligations) Regulations, 2024, consolidate two existing regulations pertaining to minimum business obligations in rural, social sector and motor third party business for insurers. Compliance and measurement of these statutory obligations have been revised, and the unit of measurement under the rural obligations will now be Gram Panchayat.
