Banking and Insurance - Laws and Practice · General and Health Insurance

General Insurance Council and Executive Committee under the Insurance Act

Updated 11 October 2026 · Fact-checked

The General Insurance Council is the representative body of insurers carrying on general, health and re-insurance business in India, deemed constituted under section 64C. Its Executive Committee, under section 64L, advises insurers on conduct and service, advises the Authority on expenses, and reports prejudicial insurers to the Authority.

Understand General Insurance Council and Executive Committee

Insurers need a common forum to agree on good practice. The Insurance Act, 1938 gives this forum a statutory form through two Councils: one for life insurers and one for general insurers.

Under section 64C, the existing Life Insurance Council is a representative body of insurers carrying on life insurance business in India. The existing General Insurance Council is a representative body of insurers carrying on general, health insurance business and re-insurance in India. Both are deemed to be constituted as the respective Councils under the Act. The text of the section was substituted with effect from 26-12-2014.

The Council is the large body of members. The day-to-day work is done by its Executive Committee. Under section 64E, the authorities of each Council are the Executive Committee. Under section 64F(2), the General Insurance Council's Executive Committee has four members elected by the Council's members in their individual capacity, one eminent person not connected with insurance business nominated by the Authority, and four persons nominated by the Authority to represent insurance agents, third party administrators, surveyors and loss assessors, and policyholders. One of the four elected members is elected Chairperson.

The core of this topic is section 64L. The Executive Committee has three main functions. First, it aids and advises general insurers on standards of conduct and sound practice, and on efficient service to policyholders. Second, it advises the Authority on controlling insurers' expenses, in the matter of commission and other expenses. Third, it brings to the Authority's notice any insurer acting in a way prejudicial to the interests of general insurance policyholders. It may also act in incidental or ancillary matters, if the General Insurance Council notifies them in the Gazette of India with the Authority's approval.

The Committee is funded by fees collected from general insurers as laid down in the Council's bye-laws. The Council may, by resolution, waive the fees for a year. If the Authority approves that resolution, the Committee must not collect fees for that year.

Key rules to remember

Section 64C: who the Councils represent: Life Insurance Council = life insurers; General Insurance Council = insurers in general, health and re-insurance business; Both are deemed constituted under the Act. Do not say the General Council covers only general insurance; health and re-insurance are named.
Section 64L(1): functions of the Executive Committee: (a) aid and advise insurers on conduct, sound practice and service; (b) advise the Authority on controlling commission and other expenses; (c) bring prejudicial insurers to the Authority's notice; (d) incidental or ancillary matters notified in the Gazette with Authority's approval; Learn as Advise insurers, Advise Authority, Alert Authority, Ancillary.
Section 64L(2): fees: Fees as laid down in the Council's bye-laws; Council may waive for a year by resolution; if the Authority approves, no fees are collected for that year; Waiver needs both the Council's resolution and the Authority's approval to bind the Committee.
Section 64F(2): composition: 4 elected + 1 eminent person (nominated by Authority) + 4 nominated by Authority = 9 members; The nine total is a sum of the clauses. The Chairperson is one of the four elected members.
Section 64H: duration: 3 years from first meeting; outgoing members continue until a new Committee is constituted; The Committee stands dissolved at expiry, but there is no gap in office.

How to solve General Insurance Council and Executive Committee questions

Use this method for any question on the Council or its Executive Committee. Keep provision, facts and conclusion separate.

1Identify which body is involved: the General Insurance Council or its Executive Committee, or the Life Insurance Council.
2Name the section that governs the point: 64C for constitution, 64F for composition, 64H for term, 64L for functions and fees.
3Write the rule in plain words, close to the text of the section.
4Match each fact in the question to one function in section 64L(1), such as advice to insurers, advice on expenses, or reporting a prejudicial insurer.
5Check who acts and who is told. The Committee advises or reports to the Authority; it does not penalise insurers itself.
6Check conditions: Gazette notification and Authority's approval for ancillary matters; bye-laws for fees.
7State a clear conclusion that answers the exact question asked.

Quickest way: Four-A recall for section 64L

When to use it: Use when you have only a few minutes and the question asks for the functions of the Executive Committee.

Write the four heads: Advise insurers, Advise the Authority on expenses, Alert the Authority to prejudicial insurers, Ancillary matters.
Add one line to each head from the section text.
Add fees under 64L(2) in one line if marks allow.
Close with the link to the Authority: the Committee advises and reports; the Authority decides.

Common mistakes in General Insurance Council and Executive Committee

Saying the Executive Committee can punish an insurer that acts against policyholders.
Students assume a representative body has disciplinary power.
Fix: Section 64L(1)(c) only lets the Committee bring the case to the notice of the Authority. Action is for the Authority.
Writing that the General Insurance Council covers only general insurers.
The name suggests a narrow scope.
Fix: Section 64C says it represents insurers carrying on general, health insurance business and re-insurance.
Mixing up the Council and its Executive Committee.
Both are used loosely in textbooks.
Fix: The Council is the representative body. Under section 64E its authority is the Executive Committee. Functions in 64L belong to the Committee.
Writing that the Central Government or the Controller is the body advised.
Older texts used Controller; the Act now says Authority.
Fix: Use Authority, as in the current text of section 64L.
Treating ancillary functions as automatic.
Students skip clause (d).
Fix: Clause (d) works only for matters notified by the General Insurance Council in the Gazette of India with the Authority's approval.
Claiming fees must be collected every year.
The waiver proviso is overlooked.
Fix: The Council may resolve to waive fees for a year. If the Authority approves, the Committee must not collect fees for that year.

Worked examples

Example 1

Suryodaya General Insurance Ltd., a general insurer, is found by other members to be settling claims in a manner harmful to policyholders. Which body can act on this under the Insurance Act, 1938, and how far can it go?

Show the solution

Provision: under section 64L(1)(c), the Executive Committee of the General Insurance Council brings to the notice of the Authority any such insurer acting in a manner prejudicial to the interests of holders of general insurance policies.
Under section 64L(1)(a), it may also aid and advise insurers on standards of conduct, sound practice and efficient service to policyholders.
Analysis: the facts show conduct harmful to policyholders of a general insurer, which fits clause (c). The Committee's role is to report, and to advise on better practice.
The Committee has no power under section 64L to impose a penalty or cancel registration.

Answer: The Executive Committee of the General Insurance Council can bring Suryodaya's conduct to the notice of the Authority under section 64L(1)(c) and advise insurers on sound practice under clause (a). It cannot itself penalise the insurer; any action rests with the Authority.

Example 2

The General Insurance Council passes a resolution waiving the fees payable by general insurers for a financial year. The Authority has not yet approved it. Can the Executive Committee collect the fees?

Show the solution

Provision: section 64L(2) lets the Executive Committee collect fees laid down in the Council's bye-laws from general insurers.
The proviso lets the Council waive fees for a year by resolution. Where the Authority has approved such a resolution, the Committee shall not collect fees for that year.
Analysis: the Council has passed the resolution, but the Authority's approval is missing. The condition for the bar on collection is therefore not met.
Conclusion: the bar on collection arises only on approval.

Answer: Yes. Until the Authority approves the resolution, the bar in the proviso to section 64L(2) does not apply, so the Committee may collect the fees under the bye-laws. Once approval is given, it must not collect fees for that year.

Exam tips

Answer functions questions in the four heads of section 64L(1) and mention the Authority in each relevant head.
Quote key phrases such as standards of conduct and sound practice, and prejudicial to the interests of holders of general insurance policies.
In case-based questions, first name the body and section, then apply facts, then conclude.
Add composition under section 64F(2) or term under section 64H in a short line when the question asks about the Committee generally.
Never state penal powers for the Committee; examiners look for this error.

Practice questions from General and Health Insurance

General Insurance Council and Executive Committee in other exams

The same ground in other exams, if you are preparing for more than one or want another angle on it.

General Insurance Council and Executive Committee: frequently asked questions

What does section 64C of the Insurance Act, 1938 say?

It deems the existing Life Insurance Council and General Insurance Council to be constituted as the Councils under the Act. The Life Council represents life insurers. The General Council represents insurers in general, health insurance and re-insurance business.

What are the functions of the Executive Committee of the General Insurance Council?

Under section 64L, it advises general insurers on conduct, sound practice and service to policyholders. It advises the Authority on controlling commission and other expenses, and brings prejudicial insurers to the Authority's notice. It may also handle incidental matters notified with the Authority's approval.

Who is on the Executive Committee of the General Insurance Council?

Under section 64F(2), it has four members elected by Council members, one eminent person not connected with insurance business, and four persons nominated by the Authority. The nominees represent agents, third party administrators, surveyors and loss assessors, and policyholders. The Chairperson is one of the elected four.

How long does the Executive Committee serve?

Section 64H gives it a term of three years from its first meeting, after which it stands dissolved and a new one is constituted. Outgoing members continue to hold office and discharge duties until the new Committee is constituted.