GENERAL KNOWLEDGE

Detailed explanation-1: -These companies need a regulatory body to manage their work. This is done by an autonomous body called the Insurance Regulatory and Development Authority or IRDA. This body was constituted in the year 1999, to regulate and develop the insurance industry and was incorporated in August 2000.

Detailed explanation-2: -The Insurance Regulatory Authority of India Act, 1999 In April 1993 the Government of India set up a high-powered Committee under the Chairmanship of Malhotra to examine the structure of the insurance industry and to recommend changes to make it more efficient and competitive.

Detailed explanation-3: -IRDA of India or IRDAI means Insurance Regulatory and Development Authority of India established under the IRDA Act, 1999. The IRDA Act, 1999 also allows private players to enter the insurance sector in India besides a maximum foreign equity of 26 per cent in a private insurance company having operations in India.

Detailed explanation-4: -The Authority acts as the regulator of the insurance industry in India and oversees the functioning of the Life Insurance and General Insurance companies operating in the country. The main objective of the IRDA is to protect the interests of the policyholder and regulate the insurance industry.