Mumbai, April 12: The life insurance industry today heaved a sigh of relief following the truce effected by the finance ministry between the two warring regulators–Sebi and Irda–on the Ulips issue.
Both the capital markets regulator Sebi as well as the insurance regulator Irda will now jointly seek a binding legal mandate from an appropriate court, according to an announcement made by finance minister Pranab Mukherjee in the Capital today.
Welcoming the development, Life Insurance Council secretary-general SB Mathur said, “it is a transparent method of resolving the imbroglio and removing the ambiguities that have arisen. It will also create a roadmap to resolve the issues involving multiple regulators in the future as well.”
Several other life insurers also welcomed the move. “We welcome this step as it will create confidence among the consumers,” a Max New York Life spokesperson said.
–Agencies