India: Circular on Order of Preference Regulations
Indian regulator issues circular reiterating the need to comply with the current Indian regulations on the Order of Preference.
With effect from 16 January 2017, all Indian reinsurance business has been subject to “Order of Preference” regulations which require Indian insurers to cede business to reinsurers according to a prescribed order of preference.
While the regulations remain unchanged, on 11 April 2018, the Insurance Regulatory and Development Authority of India (IRDAI) issued Circular IRDAI/RI/CIR/061/04/2018 to remind insurers to strictly adhere to current Order of Preference regulations. The market is reminded to be aware of the requirements applicable to Indian reinsurance business.