Guidelines for Listed Indian Insurance Companies, 2016
The Authority, in exercise of the powers conferred by Section 14 of Insurance Regulatory and Development Authority of India Act, 1999, read with clause (b) of subsection (4) of Section 6A of the Insurance Act, 1938, hereby, issues the following guidelines.
i. These Guidelines shall be in addition to, and not in derogation of, any other law for the time being in force, including the IRDAI (Issuance of Capital by Indian Insurance Companies transacting Life Insurance Business) Regulations, 2015 and IRDAI (Issuance of Capital by Indian Insurance Companies transacting other than Life Insurance Business) Regulations, 2015.
ii. These Guidelines shall be called the Guidelines for Listed Indian Insurance Companies.
iii. These Guidelines shall be applicable to all insurers who have listed their equity shares or are in the process of getting their shares listed on the stock exchanges in relation to transfer or proposed transfer of shares. iv. These guidelines shall come into effect on the day of their issuance.
DIRECTIONS ON PRIOR APPROVAL
Procedure of Application
CHAPTER – III
PRIOR APPROVAL IN CASE OF SUBSEQUENT INCREASE IN SHAREHOLDING
CHAPTER – IV
DETERMINATION OF “FIT AND PROPER” STATUS
Illustrative criteria for determining “fit and proper” status of applicants
CONTINUOUS MONITORING ARRANGEMENTS
Continuous monitoring arrangements for due diligence in case of existing major shareholders
CHAPTER – VI
Controlling Interest in Insurers
ACQUISITION OF SHARES / VOTING RIGHTS FOR THE PURPOSE OF GAINING CONTROLLING INTEREST IN AN INSURER
CHAPTER – VII
COMPLIANCE WITH OTHER REGULATIONS AND VOTING RIGHTS
SHAREHOLDING AND VOTING RIGHTS LIMITS IN INSURERS
Foreign Holding and Other requirements