IRDAI Issues Consultation Paper on the proposed regulations pertaining to Rs. 800 Crore Policyholders’ Education and Protection Fund (PEPF)
23 June, 2026
The Insurance Regulatory and Development Authority of India (IRDAI) issued a Consultation Paper on the proposed regulatory framework for the Policyholders’ Education and Protection Fund (PEPF) and invited comments and suggestions from stakeholders and members of the public.
The PEPF, with a corpus of Rs. 800 crore, was constituted by IRDAI in March 2026 pursuant to the enactment of the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025, which introduced Section 16A in the IRDAI Act, 1999. The provision mandates the establishment of a dedicated Fund to promote policyholder education, safeguard policyholder interests, and support other policyholder-centric initiatives as may be prescribed.
As envisaged under the Act, the Fund shall comprise grants and donations from the Central and State Governments, IRDAI and other sources, amounts realised through penalties under insurance laws, and such other sums as may be specified through regulations. The Fund is to be administered and utilised by IRDAI for policyholder education, protection, and related purposes.
Against this backdrop, the proposed regulations seek to establish a structured and sustainable framework for enhancing insurance awareness, strengthening policyholder protection, improving grievance support systems, and leveraging technology to deliver better policyholder services. It is proposed that the investment income generated from the Fund corpus be utilised for nationwide insurance literacy and awareness programmes, strengthening grievance redressal mechanisms, developing technology-enabled services for policyholders, including proactive alerts during natural calamities and other emergencies, and creating systems to facilitate tracing and recovery of unclaimed insurance amounts. The consultation paper also proposes the constitution of a Fund Management Committee to oversee the governance, administration, utilisation, and performance monitoring of the Fund.
The PEPF is envisaged as a significant institutional mechanism for empowering policyholders, strengthening consumer confidence, and advancing the development of a more informed, inclusive, and resilient insurance ecosystem.
Comments and suggestions on the consultation paper may be submitted to IRDAI on or before July 13, 2026. The consultation paper is available on the IRDAI website for public review and feedback.
IRDAI Organises Workshop on Implementation of Indian Accounting Standards (Ind AS) for Insurance Sector
05 June, 2026
As part of its ongoing efforts to facilitate a smooth transition to Indian Accounting Standards (Ind AS) across the insurance sector, the Insurance Regulatory and Development Authority of India (IRDAI), in collaboration with the Institute of Chartered Accountants of India (ICAI) and the Institute of Actuaries of India (IAI), organised a workshop on implementation of Ind AS for the insurance sector in Mumbai on 05 June 2026.
The workshop, while bringing together Chief Financial Officers (CFOs) and Appointed Actuaries (AAs) from insurance companies, assumed particular significance in the backdrop of the recent notification of the Insurance Regulatory and Development Authority of India (Actuarial, Finance and Investment Functions of Insurers) (Amendment) Regulations, 2026, which mandates the preparation and presentation of financial statements by insurers in accordance with applicable Ind AS with effect from 1 April 2026.
Reflecting the distinct requirements of different segments of the industry, the programme was conducted in two dedicated sessions. The morning session was attended by life insurers, while the afternoon session was attended by general insurers, health insurers and reinsurers.
Shri Ajay Seth, Chairman, IRDAI, while inaugurating the workshop, emphasised that adoption of Ind AS marks a significant milestone in the evolution of the insurance sector’s financial reporting framework. Highlighting the transformative potential of Ind AS, he noted that the new accounting framework would enhance transparency and strengthen governance standards in the sector, while enabling more efficient utilisation of capital. He urged insurers to closely follow the monthly implementation roadmap and foster stronger collaboration between finance and actuarial functions. He further encouraged insurers to actively leverage the Joint Expert Group on Ind AS, comprising representatives from IRDAI, ICAI, IAI, NFRA and SEBI, as a platform for seeking guidance and resolving implementation-related issues during the transition process.
The technical sessions that followed reflected the collaborative approach being adopted across the insurance sector to ensure implementation readiness. IRDAI officials provided participants with an overview of the regulatory framework and key implementation requirements. Experts from ICAI elaborated on the accounting and auditing implications of Ind AS, while specialists from IAI discussed the actuarial dimensions of the new framework, including valuation methodologies and the critical interface between actuarial and finance functions. Both the Institutes highlighted their ongoing collaborative efforts in developing guidance notes, educational material and training programmes to support the industry’s transition. The technical sessions were followed by interactive discussions and extensive question-and-answer sessions with participants.
Concluding the workshop, Shri Rajay Kumar Sinha, Member (Finance & Investment), IRDAI, highlighted the enhanced transparency, improved financial reporting and greater stakeholder confidence that Ind AS is expected to bring to the insurance sector. He stressed the importance of continuous capacity building and strengthening internal capabilities as insurers navigate the transition. He also appreciated the active participation of CFOs and Appointed Actuaries and acknowledged the continued support of ICAI and IAI in facilitating the sector’s preparedness for Ind AS implementation.
The workshop forms part of IRDAI’s broader efforts to facilitate a smooth transition to Ind AS and promote consistent implementation of the new accounting framework across the insurance industry. Through continued engagement with insurers and professional institutions, IRDAI remains committed to supporting the industry’s transition towards globally aligned financial reporting standards.
Orientation Programme for Insurance Ombudsmen
21 May, 2026
With a view to strengthening the effectiveness of the Insurance Ombudsman mechanism and aligning it with the evolving expectations of the Authority and the rapidly changing insurance landscape, the Council for Insurance Ombudsmen (CIO), under the guidance of the Insurance Regulatory and Development Authority of India (IRDAI), is conducting an “Orientation Programme for Insurance Ombudsmen” from 20th May to 23rd May, 2026 at IRDAI Headquarters, Hyderabad. The programme brings together all Insurance Ombudsmen across the country and is aimed at enhancing institutional capacity, promoting greater consistency in grievance redressal practices and facilitating exchange of perspectives on emerging issues in the insurance sector.
During the programme, Shri M. Nagaraju, Secretary, Department of Financial Services (DFS), Ministry of Finance, Government of India, addressed the participants and senior officers of the Authority through video conference. He emphasised the importance of approaching every grievance with empathy and a strong policyholder-centric perspective. He underscored the need for continuous capacity building and adoption of best practices supported by appropriate policies, digital tools and technology-driven processes. He also appreciated the efforts of the DFS and IRDAI teams in ensuring timely resolution of complaints and appeals on the CPGRAMS platform.
Shri Ajay Seth, Chairman, IRDAI, while addressing the Insurance Ombudsmen and senior officers of the Authority, highlighted that the Institution of Insurance Ombudsman promises to provide free, speedy and accessible grievance redressal to policyholders. He urged the participants to utilise such orientation programmes to identify operational challenges, share experiences and evolve practical solutions for improving the overall effectiveness of the grievance redressal framework. He noted that strengthening customer trust is central to achieving higher insurance penetration and realising the vision of inclusive insurance coverage. He further emphasised the need to address recurring instances of mis-selling, enhance public awareness regarding grievance redressal mechanisms and improve the efficiency of insurance intermediation. He also highlighted key areas requiring focused attention, including complaints pending beyond 90 days, delays in registration of complaints, nonentertainable complaints and the need to increase the number of hearings conducted through video conferencing. He called upon all stakeholders to work in a coordinated manner towards making the Insurance Ombudsman system more robust, responsive, technology-enabled and policyholder-centric.
During 2025-26, 41,055 grievances were decided by Insurance Ombudsmen. Of which, 79% were decided in favour of policyholders.
