SAFETY MEASURES

New Delhi/Calcutta Oct. 25: Details of rogue insurance agents will now be available on the Internet.

In a circular, issued earlier this month, the Insurance Regulatory and Development Authority (IRDA) had stated that companies must “publish details of agents who are involved in any form of malpractices on the insurer’s website along with the date from which the said agent ceases to be an agent of that insurer.”

Though insurers favour sanctions, they feel it will be harsh on the agents to have their details on the Internet.

Garry R. Bennett, managing director and CEO, Max New York Life Insurance, told The Telegraph that “to update these names on the website would be like taking away the livelihood of such agents forever without giving them a chance to rectify their mistakes.”

The IRDA has been receiving complaints of agents involved in malpractices such as not providing scheme details, making wrong commitments on claim settlements and exaggerating returns from schemes.

The circular is based on the recommendations of a committee set up last year by the regulator to review the syllabus for training, in the wake of the reports of faulty selling practices.

The circular also stipulates fresh training guidelines for prospective agents that will come into effect from next month. The guidelines make insurers and training institutes more accountable, while reducing the training time of agents.

Insurers will now have to maintain a record of training and exam schedules and submit the details to the regulator.