IRDAI working group to study loss prevention in insurance biz

Hyderabad: The insurance regulator, Insurance Regulatory and Development Authority of India (IRDAI), on Thursday said it has constituted a working group to make recommendations for loss prevention and minimization in the general insurance industry.

The working group has been asked to suggest segment-wise ways and means to improve loss prevention and minimisation in insurance. It will also be evaluating current practices followed by the insurance industry in the area of loss prevention and minimisation and suggest approaches to synergise the activities of the various stakeholders involved in order to ensure better results. Besides, it will be giving recommendations for promoting research, education and services related to loss prevention and loss mitigation.

The working group will be submitting a report containing its recommendations within 12 weeks of the date of the order. “While loss prevention and loss minimisation are aspects insurers are concerned with right from the time a risk is assessed to the time a claim occurs, there is a need to synergise the activities of the various stakeholders involved in these activities for the benefit of all concerned. Research and education in this area needs to be encouraged. collaboration with the government and various government agencies in this regard will benefit the society at large,” IRDAI said in its order.

The working group consists of IRDAI member (non-life) TL Alamelu, National Insurance Academy director G Srinivasan and IIBI CEO Kunnel Prem, among other industry members.

Source: The Times of India