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IAI Actuarial Core Principles · Business Management · Characteristics of a profession and the Actuaries' Code

Ananya asks which statement correctly describes the legal position of the Institute of Actuaries of India under the Actuaries Act, 2006.

The Institute of Actuaries of India is a statutory body created by the Actuaries Act, 2006, charged with regulating the actuarial profession and its members. It is not a mere private club, not a wing of IRDAI, and it regulates individual actuaries rather than insurance companies.

  1. AIt is a private club with no statutory powers over members
  2. BIt is a statutory body, established by an Act of Parliament, with responsibility for regulating the profession and its membersCorrect
  3. CIt is a department of the Insurance Regulatory and Development Authority
  4. DIt is a company registered only under the Companies Act with voluntary membership rules
  5. It is a body that regulates only insurance companies, not individuals

Explanation

The Actuaries Act, 2006 constituted the Institute as a statutory body to regulate the profession and its members. It is not part of IRDAI, and it governs actuaries as individuals, not insurers.

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