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IAI Actuarial Core Principles · Business Management · Actuaries Act, 2006 and IAI governance

A trainee at an Indian life insurer asks a colleague about the legal status of the Institute of Actuaries of India. Which statement correctly describes it?

The Institute of Actuaries of India is a statutory body corporate created by the Actuaries Act, 2006, with perpetual succession and a common seal. It is not a registered company, society, trust or a regulator's department, because Parliament created it directly by statute.

  1. AA body corporate established under the Actuaries Act, 2006, with perpetual succession and a common sealCorrect
  2. BA company registered under the Companies Act as a not-for-profit entity
  3. CA department of the Insurance Regulatory and Development Authority of India
  4. DA registered society formed by insurers under the Societies Registration Act
  5. A trust created by the Government of India to hold members' funds

Explanation

The Actuaries Act, 2006 established the Institute of Actuaries of India as a statutory body corporate. It has perpetual succession and a common seal and can sue and be sued in its own name. It is not a company, society, trust or regulator department, which is why the other options are wrong.

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