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

The General Insurance Council resolves to waive collection of the fees prescribed in its bye-laws for the year, as permitted under Section 64L. Which condition must be met before the Executive Committee is barred from collecting fees for that year?

The Executive Committee is barred from collecting fees for that year only when the Council's waiver resolution has been approved by the Authority. Passing the resolution alone is not enough, and neither individual insurer consent nor Central Government notification is the stated requirement.

  1. AThe waiver resolution must have been approved by the AuthorityCorrect
  2. BThe waiver must be agreed by all insurers individually in writing
  3. CThe Central Government must notify the waiver in the Gazette
  4. DNo further step is needed once the Council passes the resolution

Explanation

The proviso to Section 64L(2) says the Council may by resolution waive the fees, and where the resolution has been approved by the Authority, the Executive Committee shall not collect fees for that year. Merely passing the resolution is not sufficient.

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