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CS Professional · Banking and Insurance - Laws and Practice · Functions in Insurance and Compliance related thereto (Part IV)

For the year 2027, the General Insurance Council passes a resolution waiving collection of the fees prescribed in its bye-laws from general insurers. Under Section 64L(2) and its proviso, when is the Executive Committee barred from collecting fees for that year?

The Executive Committee is barred from collecting fees for the year only when the Council's waiver resolution has been approved by the Authority. A resolution alone does not suffice, and neither the Life Insurance Council nor the Committee's own consent is required under the proviso to Section 64L(2).

  1. AImmediately once the Council passes the resolution
  2. BOnly where the resolution has been approved by the AuthorityCorrect
  3. COnly where the Life Insurance Council also agrees
  4. DOnly where the Executive Committee itself consents

Explanation

The proviso to Section 64L(2) lets the Council waive fees by resolution, but the Executive Committee shall not collect fees for that year only where the resolution has been approved by the Authority. A bare Council resolution is insufficient, and the Life Insurance Council has no role.

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