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Business News›Industry›Banking/Finance›Insure›IRDAI seeks road maps to Dalal
Street from large insurers



THE ECONOMIC TIMES DAILY NEWSPAPER IS AVAILABLE ONLINE NOW.

Read Today's Paper


IRDAI SEEKS ROAD MAPS TO DALAL STREET FROM LARGE INSURERS

SECTIONS
IRDAI seeks road maps to Dalal Street from large insurers
By
Shilpy Sinha

, ET BureauLast Updated: Nov 28, 2024, 11:48:00 PM IST
Synopsis


THE INSURANCE REGULATORY AND DEVELOPMENT AUTHORITY OF INDIA (IRDAI) ENCOURAGES
10-12 LARGE LIFE AND GENERAL INSURANCE COMPANIES TO PURSUE PUBLIC LISTINGS
WITHIN THE NEXT FOUR TO SIX QUARTERS. THE AIM IS TO ENHANCE GOVERNANCE AND FUND
ACCESS IN THE CAPITAL-INTENSIVE SECTOR, WITH INSURERS BEING URGED TO PRESENT IPO
PLANS AFTER CONSULTING STAKEHOLDERS.

The Insurance Regulatory and Development Authority of India (IRDAI) is pushing
as many as 10-12 large life and general insurance companies to pursue public
listings in the next four to six quarters, people close to the development said.

In a meeting recently, the sector regulator asked some insurers to draft road
maps for launching initial public offerings (IPOs), involving their respective
boards and shareholders.



IRDAI held talks with a group of insurers who are believed to be preparing for
IPOs. The regulator is offering time to the insurers to prepare a plan, and it
intends to be more persuasive in subsequent discussions, the people said.

"The regulator is of the view that listing will improve governance and increase
access to funds in this capital-intensive sector," one of the persons said. "The
regulator has asked some players to consult with stakeholders and present a road
map, which would take 4-6 quarters."

The regulatory process, which requires board and promoter approvals, would
typically take 4-6 quarters, including two quarters to finalise a draft red
herring prospectus (DRHP), the person said.



A follow-up meeting will happen within 7-10 days to address concerns and
deliberate on the plans. IRDAI wants insurers to be listed at the operating
company level to potentially unlock value, the person said.

Also, the regulator believes that the flow of capital will improve due to better
corporate governance, the person said.

The government introduced key reforms in the insurance sector through the
Insurance Law (Amendment) Act, 2015, allowing for increased foreign investments
while ensuring Indian management control. In March 2021, the Parliament further
raised the foreign direct investment (FDI) limit in the sector from 49% to 74%,
encouraging more capital inflows while retaining Indian control.

Another person said IRDAI plans to engage the insurers in phases, starting with
the most prepared, followed by other insurers after three to four months.

Since privatisation in 2000, the insurance market has grown to 70 companies,
with new entrants like Go Digit Life Insurance, Acko, and the recently licensed
CreditAccess Life. Currently, insurers like LIC, HDFC Life, SBI Life, and ICICI
Prudential Life are listed at the operating company level, while others like Max
Life Insurance and Bajaj Allianz have yet to list their operating entities.



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direct investment insuranceDalal Streetinitial public offeringsinsurance market
growthLICirdaicorporate governance insurance

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   this and other entities.
   
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 * USE PROFILES TO SELECT PERSONALISED ADVERTISING 461 PARTNERS CAN USE THIS
   PURPOSE
   
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   Advertising presented to you on this service can be based on your advertising
   profiles, which can reflect your activity on this service or other websites
   or apps (like the forms you submit, content you look at), possible interests
   and personal aspects.
   
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 * CREATE PROFILES TO PERSONALISE CONTENT 207 PARTNERS CAN USE THIS PURPOSE
   
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   Information about your activity on this service (for instance, forms you
   submit, non-advertising content you look at) can be stored and combined with
   other information about you (such as your previous activity on this service
   or other websites or apps) or similar users. This is then used to build or
   improve a profile about you (which might for example include possible
   interests and personal aspects). Your profile can be used (also later) to
   present content that appears more relevant based on your possible interests,
   such as by adapting the order in which content is shown to you, so that it is
   even easier for you to find content that matches your interests.
   
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 * USE PROFILES TO SELECT PERSONALISED CONTENT 180 PARTNERS CAN USE THIS PURPOSE
   
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   Content presented to you on this service can be based on your content
   personalisation profiles, which can reflect your activity on this or other
   services (for instance, the forms you submit, content you look at), possible
   interests and personal aspects. This can for example be used to adapt the
   order in which content is shown to you, so that it is even easier for you to
   find (non-advertising) content that matches your interests.
   
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 * MEASURE ADVERTISING PERFORMANCE 658 PARTNERS CAN USE THIS PURPOSE
   
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   Information regarding which advertising is presented to you and how you
   interact with it can be used to determine how well an advert has worked for
   you or other users and whether the goals of the advertising were reached. For
   instance, whether you saw an ad, whether you clicked on it, whether it led
   you to buy a product or visit a website, etc. This is very helpful to
   understand the relevance of advertising campaigns.
   
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 * MEASURE CONTENT PERFORMANCE 325 PARTNERS CAN USE THIS PURPOSE
   
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   Information regarding which content is presented to you and how you interact
   with it can be used to determine whether the (non-advertising) content e.g.
   reached its intended audience and matched your interests. For instance,
   whether you read an article, watch a video, listen to a podcast or look at a
   product description, how long you spent on this service and the web pages you
   visit etc. This is very helpful to understand the relevance of
   (non-advertising) content that is shown to you.
   
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 * UNDERSTAND AUDIENCES THROUGH STATISTICS OR COMBINATIONS OF DATA FROM
   DIFFERENT SOURCES 413 PARTNERS CAN USE THIS PURPOSE
   
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   Reports can be generated based on the combination of data sets (like user
   profiles, statistics, market research, analytics data) regarding your
   interactions and those of other users with advertising or (non-advertising)
   content to identify common characteristics (for instance, to determine which
   target audiences are more receptive to an ad campaign or to certain
   contents).
   
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   Object to Legitimate Interests Remove Objection

 * DEVELOP AND IMPROVE SERVICES 502 PARTNERS CAN USE THIS PURPOSE
   
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   Information about your activity on this service, such as your interaction
   with ads or content, can be very helpful to improve products and services and
   to build new products and services based on user interactions, the type of
   audience, etc. This specific purpose does not include the development or
   improvement of user profiles and identifiers.
   
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   Object to Legitimate Interests Remove Objection

 * USE LIMITED DATA TO SELECT CONTENT 109 PARTNERS CAN USE THIS PURPOSE
   
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   Content presented to you on this service can be based on limited data, such
   as the website or app you are using, your non-precise location, your device
   type, or which content you are (or have been) interacting with (for example,
   to limit the number of times a video or an article is presented to you).
   
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   Object to Legitimate Interests Remove Objection

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USE PRECISE GEOLOCATION DATA 233 PARTNERS CAN USE THIS SPECIAL FEATURE

Use precise geolocation data


With your acceptance, your precise location (within a radius of less than 500
metres) may be used in support of the purposes explained in this notice.

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ACTIVELY SCAN DEVICE CHARACTERISTICS FOR IDENTIFICATION 113 PARTNERS CAN USE
THIS SPECIAL FEATURE

Actively scan device characteristics for identification


With your acceptance, certain characteristics specific to your device might be
requested and used to distinguish it from other devices (such as the installed
fonts or plugins, the resolution of your screen) in support of the purposes
explained in this notice.

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ENSURE SECURITY, PREVENT AND DETECT FRAUD, AND FIX ERRORS 473 PARTNERS CAN USE
THIS SPECIAL PURPOSE

Always Active

Your data can be used to monitor for and prevent unusual and possibly fraudulent
activity (for example, regarding advertising, ad clicks by bots), and ensure
systems and processes work properly and securely. It can also be used to correct
any problems you, the publisher or the advertiser may encounter in the delivery
of content and ads and in your interaction with them.

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DELIVER AND PRESENT ADVERTISING AND CONTENT 471 PARTNERS CAN USE THIS SPECIAL
PURPOSE

Always Active

Certain information (like an IP address or device capabilities) is used to
ensure the technical compatibility of the content or advertising, and to
facilitate the transmission of the content or ad to your device.

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MATCH AND COMBINE DATA FROM OTHER DATA SOURCES 327 PARTNERS CAN USE THIS FEATURE

Always Active

Information about your activity on this service may be matched and combined with
other information relating to you and originating from various sources (for
instance your activity on a separate online service, your use of a loyalty card
in-store, or your answers to a survey), in support of the purposes explained in
this notice.

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LINK DIFFERENT DEVICES 302 PARTNERS CAN USE THIS FEATURE

Always Active

In support of the purposes explained in this notice, your device might be
considered as likely linked to other devices that belong to you or your
household (for instance because you are logged in to the same service on both
your phone and your computer, or because you may use the same Internet
connection on both devices).

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IDENTIFY DEVICES BASED ON INFORMATION TRANSMITTED AUTOMATICALLY 441 PARTNERS CAN
USE THIS FEATURE

Always Active

Your device might be distinguished from other devices based on information it
automatically sends when accessing the Internet (for instance, the IP address of
your Internet connection or the type of browser you are using) in support of the
purposes exposed in this notice.

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SAVE AND COMMUNICATE PRIVACY CHOICES 307 PARTNERS CAN USE THIS SPECIAL PURPOSE

Always Active

The choices you make regarding the purposes and entities listed in this notice
are saved and made available to those entities in the form of digital signals
(such as a string of characters). This is necessary in order to enable both this
service and those entities to respect such choices.

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