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CS Professional · IFSCA - Regulations, Listing and Compliances · Insurance and Reinsurance

Banyan Global Insurance Ltd, an Indian insurer, wants to write general insurance business from GIFT IFSC while keeping its domestic business separate. Which statement best reflects the correct approach?

Banyan should set up an IFSC Insurance Office registered with IFSCA and operate it as a distinct unit from domestic business. It need not give up its domestic licence, but its IRDAI licence alone does not authorise insurance business in the IFSC.

  1. AIt may set up an IFSC Insurance Office as a distinct IFSC unit, registered with IFSCA, and run IFSC business separately from domestic operationsCorrect
  2. BIt must surrender its domestic licence before entering IFSC
  3. CIt may write IFSC business under its IRDAI licence without any IFSCA registration
  4. DIt can enter only as an insurance agent of a foreign insurer

Explanation

IFSC operations need IFSCA registration, typically through an IIO maintained as a separate unit. Domestic licence need not be surrendered, and the IRDAI licence alone does not authorise IFSC business.

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