Insurance sector reforms need some corrective measures: IBAI president

Narendra Kumar Bharindwal, President, Insurance Brokers Association of India (IBAI) has welcomed the ongoing reforms in India’s insurance sector and fully supports the objective of making insurance more affordable, accessible and policyholder-centric. The insurance industry has made remarkable progress under the guidance of the Government and IRDAI, and the next phase should build on these achievements.

As the regulator considers changes to the distribution framework, we respectfully believe that reform should preserve policyholder choice, professional advice, competition and the service ecosystem that supports customers—not only at the time of purchase, but throughout the policy lifecycle, particularly at the time of a claim.

At the same time, the distribution ecosystem has created significant employment, entrepreneurship and livelihoods across the country, including in smaller cities and towns. Any structural transition should therefore be calibrated carefully so that we continue to expand this productive ecosystem rather than inadvertently disrupt existing livelihoods or future employment opportunities.

Our submission is simple: let us reform where reform is required, address excessive costs wherever they exist, and ensure that every change ultimately delivers measurable value to the policyholder while strengthening insurance penetration, employment and entrepreneurship and supporting the national vision of “Insurance for All by 2047.”