Irdai establishes a panel to review the 3-year commercial credit insurance guidelines

New Delhi, September 3 () Irdai insurance regulator decided to revise its three-year guidelines on commercial credit insurance in line with changing market requirements.

The commercial credit insurance policy provides coverage to the provider of goods and services against late payment or non-payment of the commercial credit.

The Insurance Regulation and Development Authority of India (Irdai) said it established a nine-member working group headed by the Atul Sahai CMD of New India Assurance with the aim of revising the March 2016 guidelines.

The panel, which has been asked to submit its report in three months, would study the need and scope of the changes in the current guidelines according to the times and requirements of various market segments.

According to the terms of reference (ToR) given to the panel, I would also suggest appropriate amendments to guidelines that add value to policyholders and stakeholders, such as banks and factoring companies.

Another key ToR is: Examine the current guidelines on commercial credit insurance and the products available to meet the needs of the credit insurance market in India.

Irdai said he decided to review the guidelines after receiving representations from various interested parties. They wanted the regulator to review the scope of commercial credit coverage. NKD CS RVK