CURRENT AFFAIRS

Detailed explanation-1: -Documents Required for Life Insurance Application Age Proof of the Proposer/Life Assured. Photo Identity Proof of the Proposer/Life Assured. Address Proof of the Proposer/LIfe Assured. Medical Examination Report of the Proposer/Life Assured.

Detailed explanation-2: -However, with the new move, Aadhaar card, PAN card and photo of the customer have become mandatory for the purchase of new insurance policies. Although KYC documents are required for renewal of existing policies, customers will be provided sufficient time to intimate the details.

Detailed explanation-3: -The Insurance Regulatory and Development Authority of India (IRDAI) has made KYC norms mandatory for the purchase of all new insurance policies, irrespective of their premiums, starting January 1, 2023. This rule will apply to all types of insurance-life, general and health insurance.

Detailed explanation-4: -The risks of fraudulent claims could be countered as insurance companies can look forward to improving the accuracy of risk management and pricing with the KYC details. It will also help maintain a centralised database of policy records, which would be a win-win for all stakeholders.