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

Meera is preparing a briefing note on how the IAI is governed. Which description of the governing structure under the Actuaries Act, 2006 is most accurate?

The Institute is governed by its Council, which manages its affairs and exercises its statutory powers, working through committees. It is not run by the insurance regulator, a single appointee, insurers' executives or the Registrar of Companies.

  1. AThe Institute is run by a Council, which exercises its powers and functions and is responsible for the Institute's managementCorrect
  2. BThe Institute is run by a single Chairperson appointed by the Prime Minister without any council
  3. CThe Institute is run directly by the insurance regulator's board
  4. DThe Institute is run by a committee of insurers' chief executives
  5. The Institute is run by the Registrar of Companies

Explanation

The Act provides for a Council of the Institute, which manages its affairs and exercises its powers. The Council includes elected members and government nominees, and it works through committees. The other options attribute control to bodies that have no such role.

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