De-Tariffication – The General Insurance Councils Minimum Standard Wordings

In previous articles we have reported on the proposed de-tariffing of the Indian general insurance market. As of 1^st January 2007 the IRDA (the Indian insurance market regulator) freed pricing within certain parameters, but Insurers were to continue using the forms approved by the Tariff Advisory Committee until 31^st March 2008.

The IRDA roadmap to a detariffed market envisaged Insurers filing the policies they proposed selling in the de-tariffed regime but in recent months there appears to have been a re-consideration of whether complete de-tariffication will in fact take place. India's General Insurance Council (GIC), which is a statutory body established under §64C of the Indian Insurance Act 1938 and represents the collective interests of the non-life Insurance companies in India, was given the responsibility of developing Standard Market Wordings for fire, engineering and motor risks to be followed