Daily
250 words
6/10
Rating

30 July 2026

IRDAI reforms and policyholder fund

The IRDAI's introduction of the Policyholders' Education and Protection Fund and regulatory reforms represent significant institutional and governance measures in the financial sector, which are directly relevant to syllabus topics on government interventions and transparency.

1 min read Day 2 of 2 2 questions 1 prelims

Notes

  • IRDAI has approved the Policyholders' Education and Protection Fund (PEPF) regulations to serve as a dedicated institutional mechanism.
  • The PEPF aims to promote insurance awareness, enhance literacy, strengthen grievance redressal, and facilitate the recovery of unclaimed insurance amounts.
  • IRDAI introduced a perpetual registration system for insurers, replacing periodic renewals with an annual fee regime.
  • New regulations governing the imposition of penalties by the regulator have been approved.
  • ProTec General Insurance has been granted a certificate of registration, marking the fourth such registration issued by IRDAI since January.

Part of a longer story

This is day 2 of 2 in IRDAI Policyholders' Education and Protection Fund (PEPF) Regulations, which has been running since 24 June 2026. Reading it whole is usually worth more than reading today alone — the exam asks how something developed.

Questions

  1. Discuss the significance of the Policyholders' Education and Protection Fund (PEPF) in enhancing consumer protection and financial literacy within the Indian insurance sector. 150 words
    Attempt this — 150 words in 8 min
    0 / 150 words 8:00
  2. Analyze how the shift towards perpetual registration and revised penalty frameworks by the IRDAI contributes to the 'ease of doing business' while maintaining regulatory oversight in the insurance industry. 250 words
    Attempt this — 250 words in 11 min
    0 / 250 words 11:00

Prelims

  1. What is the primary objective of the Policyholders' Education and Protection Fund (PEPF) as approved by the IRDAI?

Syllabus

Topics

Sources

250words.in · https://250words.in/daily/2026-07-30/irdai-reforms-and-policyholder-fund