1. Vide Para 6(10) of the above referred circular, insurers were advised to disclose the amounts transferred to the Senior Citizens’ Welfare Fund (SCWF) as contingent liability as a part of their financial statements.
Senior Citizens’ Welfare Fund Rules provides that in case insurers receive claims in respect of Unclaimed Amount of Policyholders which have been transferred to the SCWF, insurers may adjust the amount of such claims from the amount due to be transferred to SCWF.
In light of the above, Para 6(10) of the above referred Master Circular stands withdrawn. Accordingly, insurers need not to disclose the amounts transferred to the Senior Citizens’ Welfare Fund (SCWF) as contingent liability as a part of their financial statements from financial year 2018-19 onwards.
2. The Authority vide its above referred circular has mandated to transfer the Unclaimed Amount of Policyholders to Senior Citizens’ Welfare Fund Account after a period of 10 years.
It is hereby directed that an intimation of transfer of amount to Senior Citizens’ Welfare Fund Account shall be filed with the Authority in format as enclosed (Annexure A) herewith within 7 days from the date of transfer.
All insurers are advised to take note of the above for compliance.
