If you're a business entity looking to enter the insurance distribution space in India, obtaining a Corporate Agent License is the first step. The Insurance Regulatory and Development Authority of India (IRDAI) regulates the process and issues the necessary approvals to operate as a corporate insurance agent. This guide will walk you through everything you need to know—from eligibility to documentation and the registration process.
What is a Corporate Insurance Agent?
A corporate insurance agent is a business entity authorized by IRDAI to solicit, procure, and service insurance business on behalf of insurance companies. Unlike individual agents, corporate agents can tie up with multiple insurers—up to nine in each category (life, general, and health insurance).
Eligibility Criteria for Corporate Agent License
To apply for a Corporate Agent License, the applicant must fulfill the following basic requirements:
1. Legal Structure
The applicant must be a legal entity such as:
Company registered under the Companies Act
LLP (Limited Liability Partnership)
Cooperative society
Bank or NBFC
NGO or microfinance institution
2. Net Worth Requirement
A minimum net worth of ₹50 lakh is required.
The applicant must maintain solvency and submit proof of financial stability.
3. Principal Officer
The company must appoint a Principal Officer (PO) who has:
A minimum qualification of a graduate
Completed IRDAI-mandated training (50 hours for fresh applicants or 25 hours for experienced ones)
Passed the IRDAI examination
Step-by-Step Process to Get an IRDAI Licence for Insurance Agent
Here’s a breakdown of the process for acquiring an IRDAI licence for insurance agent in the corporate category:
Step 1: Prepare Required Documents
Some of the essential documents include:
Certificate of incorporation
Memorandum and Articles of Association
Net worth certificate
PAN and GST registration
Board resolution for appointment of PO
Passport-sized photos and ID proof of directors and PO
Training and exam completion certificates of the PO
Step 2: Register on the IRDAI Portal
The applicant must register on the IRDAI BAP (Brokers and Agents Portal) for submission and tracking of the license application.
Step 3: Submit the Application Form (Form IRDAI-CA)
The application should be submitted online in Form IRDAI-CA along with the requisite documents and payment of fees.
Step 4: Payment of Application Fee
A non-refundable application fee of ₹25,000 is to be paid online.
On approval, an additional license issuance fee of ₹50,000 is payable.
Step 5: Inspection and Approval
IRDAI may conduct an inspection or seek clarification. If satisfied, the authority will issue a Corporate Agent License valid for three years.
Post-License Compliance
After obtaining the IRDAI licence for insurance agent, corporate agents must:
Maintain a grievance redressal mechanism
Submit periodic reports and disclosures to IRDAI
Comply with anti-money laundering (AML) guidelines
Ensure that the Principal Officer and staff undergo regular training
Conclusion
Becoming a corporate insurance agent in India is a highly regulated yet rewarding process. With a valid Corporate Agent License, your company can tap into one of the fastest-growing industries in the country. Ensure full compliance with IRDAI guidelines and maintain transparency in operations to build trust and long-term success.
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