Capital and net-worth compliance requires insurance intermediaries to maintain unencumbered owned-fund investment and promptly cure deficiencies. Insurance intermediary registration requires applicants to maintain prescribed paid-up capital and net worth. Company capital must be paid-up equity ... Summary
Capital and net-worth compliance requires insurance intermediaries to maintain unencumbered owned-fund investment and promptly cure deficiencies.
Insurance intermediary registration requires applicants to maintain prescribed paid-up capital and net worth. Company capital must be paid-up equity shares, while capital interests and equivalent contributions must remain unpledged and unencumbered. Investments by promoters, shareholders, partners, or members must come from owned funds and cannot be financed through borrowings or loans. An IIIO must immediately restore any net-worth shortfall and report compliance. Half-yearly paid-up capital and net-worth certificates must be submitted from a statutory auditor, specified Indian professionals, or another appropriately qualified person specified by the Authority.
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