Question
Recently IRDAI has set up a 24-member committee to
develop and suggest an affordable and comprehensive cover for the _____ population.Solution
The Insurance Regulatory and Development Authority of India (IRDAI) has set up a 24-member committee to develop and suggest an affordable and comprehensive cover for the rural population. While the proposed cover will be a benefit based / parametric structure, called Bima Vistaar, the IRDAI has also asked the panel, which will be headed by Thomas M Devasia to recommend a regulatory framework for the cover. The insurance regulator has also asked the committee to develop and suggest constitution and operation of a preferably, women centric distribution channel to focus on reaching untapped/ rural areas – Bima Vahak – and recommend the regulatory framework. The committee will explore and recommend on how to bring about synergies in the working and operations of Bima Vahak, Bima Vistaar and the digital platform – Bima Sugam. According to IRDAI, in order to facilitate availability of an affordable, simple but comprehensive cover to the untapped areas and rural population, it is necessary to understand the needs and requirements in those areas and formulate suitable risk cover and customized distribution channels who appreciate the market dynamics in such areas.
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