Direct Tax
Consulting
ESG Advisory
Indirect Tax
Growth Advisory
Internal Audit
BFSI Audit
Industry Audit
Valuation
RBI Services
SEBI Services
IRDA Registration
AML Advisory
IBC Services
Recovery of Shares
NBFC Compliance
IRDA Compliance
Finance & Accounts
Payroll Compliance Services
HR Outsourcing
LPO
Fractional CFO
General Legal
Corporate Law
Debt Recovery
Select Country
Are you looking to strengthen your insurance business operations with Internal Control and Organisation SOPs? Enterslice provides end-to-end support in drafting, implementing, and optimizing SOPs to enhance governance, reduce risks, and improve operational efficiency.
500000 +
500 +
50 +
GET FREE CONSULTATION
Rated at 4.8/5 22169+ Happy Reviews
Are you looking for an expert to assist you in designing and implementing Internal Control and Organisation SOPs for insurance company? Well, at Enterslice, we have a team of professionals who can set up an internal control framework for your organisation or company, enabling you to carry out your activities and business operations in a methodical and controlled manner. Enterslice is the first choice for internal control and organisation SOPs for insurance companies.
Meanwhile, strong internal controls and well-designed Standard Operating Procedures (SOPs) are essential for every organisation that aims to ensure transparency, accountability, smooth workflow and risk-free business operations. Overall, our team of Internal Control and Organisation SOPs will help your company to design and build an SOP as per your business needs and accordingly implement and monitor the Internal Control and Organisation SOPs that align with regulatory expectations and business goals.
The internal control frameworks are based upon the different needs of the business and organisations, such as the ISO 9001 Quality Management System and ISMS (Information Security Management System) framework.
Well-Structured Internal Control Framework
End-to-End SOP Formulation
Alignment With ISO 9001 & ISMS Standards
Risk-Free and Controlled Business Operations
Smooth, Transparent & Accountable Workflow
Industry-Specific SOP Designing
Monitoring & Implementation Support
Customized SOPs for All Business Functions
Improved Audit Readiness & Compliance
Implement robust Internal Control and Organisation SOPs for insurance companies to streamline processes, enhance governance, and ensure full regulatory compliance. Build a stronger, risk-free operational framework with expert-crafted SOPs.
Internal Controls and SOP Formulations form the backbone of an insurance companyโs governance and operational framework. They ensure that every process from underwriting, claims management and policy servicing to finance, compliance and customer handling is executed in a consistent, transparent and compliant manner.
Under IRDAIโs corporate governance structure, all insurance companies, intermediaries, brokerage firms and corporate agents are required to establish well-defined internal control systems and documented Standard Operating Procedures (SOPs) to monitor risks, prevent operational lapses and maintain regulatory compliance. These controls and SOPs outline responsibilities, approval hierarchies, reporting mechanisms, and internal checks that safeguard policyholdersโ interests and strengthen organisational efficiency.
While reinsurance companies are exempt from constituting a Policyholdersโ Protection Committee, and foreign reinsurer branches are not mandated to form a Board and its compulsory committees, all other insurance entities must implement robust internal controls and SOPs to ensure sound governance, operational discipline and accountability across the organisation.
The key requirements to apply for internal control & Organisation SOPs online are as follows:
Insurance companies must comply with strict ownership and control requirements. A minimum lock-in period of five years applies to share transfers, and foreign investment cannot exceed 49%, ensuring majority Indian control. This control must be clearly shown through the MoA, AoA, and shareholding structure. Any transfer or registration of shares above 1% requires prior IRDAI approval. These measures help maintain regulatory oversight and stable governance.
Companies must maintain systems to prevent conflicts of interest in all agreements and transactions. Related Party Transactions (RPTs) should be defined clearly, priced at armโs length, and approved by the Audit Committee and Board when required.
Key personnel such as directors, actuaries, and auditors cannot hold dual positions within the company. The Board must also review and ensure the adequacy of the companyโs capital structure.
A clear Board structure is essential for effective governance. Insurance companies may appoint an executive or non-executive chairman, and group entities should follow consistent governance practices. Directors must be qualified and understand the companyโs operations, risks, and product lines.
A minimum of two or three directors is required, with an appropriate mix of executive and non-executive members. Independent directors and at least one-woman director must be appointed as per the Companies Act, 2013. If the chairman is non-executive, the CEO must serve as a Whole-Time Director.
Directors must meet the โfit and properโ criteria set out in the SOPs. Insurance intermediaries or agents cannot serve as directors without IRDAI approval, and individuals cannot hold directorship in multiple life insurance companies. These conditions ensure competent and conflict-free leadership.
Insurance companies are required to make disclosures as per the Companies Act, 2013, Secretarial Standards, and additional IRDAI norms. These include details of Board and committee meetings, composition and qualifications of directors, attendance records, and the remuneration paid to all directors, including independent directors. These disclosures strengthen transparency and stakeholder trust.
Insurance companies must establish specialized committees to ensure strong governance and smooth internal operations. Each committee carries defined responsibilities, some of the functions of delegation under the internal control and organisation SOPs are as outlined below:
This mandatory committee oversees financial reporting, annual and quarterly statements, cash flow, and disclosures. Chaired by an independent CA-qualified director, it monitors accounts, manages cash flows, reviews audits, maintains books, and ensures accounting compliance.
Comprising key executives and non-executive directors, this committee formulates financial policies, manages asset liability strategies, ensures legal compliance, sets reporting systems, and reviews investment proposals quarterly.
Responsible for implementing the risk management framework, appointing the CRO, coordinating risk and finance functions, reviewing solvency, enforcing anti-fraud procedures, and reporting overall risk exposure to the Board.
This committee safeguards policyholder interests by handling grievances, ensuring regulatory compliance, reviewing complaint trends, providing ombudsman details, and overseeing fair-treatment SOPs and service timelines.
It evaluates applications for key managerial roles, obtains annual declarations from directors, manages deeds of covenant, decides remuneration for KMPs, and ensures compliance with authority guidelines.
Mandatory for companies with profits exceeding โน5 crore, this committee includes an independent director and ensures at least 2% of net profits are spent on CSR activities, without charging policyholder funds.
Life insurers must form this committee to review asset allocation, investment income, and expenses attributable to participating policyholders, ensuring fairness and transparency.
Additional committees include the Ethics Committee and the ALM Committee. If not constituted, their responsibilities must be handled by the Board.
The list of benefits of internal controls and SOP formulations is as follows:
Internal Controls and SOP Formulations help organisations utilize their assets efficiently while safeguarding them from potential risks. These controls reduce the chances of fraud, theft, and misuse by ensuring proper monitoring and accountability.
By following SEBI guidelines and other regulatory requirements, organisations can avoid penalties and ensure smooth operations. Strong internal controls minimize errors, reduce process delays, and enhance overall operational efficiency.
Clear and structured SOPs promote transparency by ensuring that decisions are made based on accurate and complete information. They also encourage ethical practices, strengthening trust and confidence among stakeholders, clients, and partners.
Internal controls provide timely and accurate information that supports better decision-making. They enable management to identify potential issues early and address them before they escalate into major concerns, thereby improving overall risk management.
The step-by-step process to apply for internal control & organization SOPs Online are as follows:
Firstly, you need to review the current rules, processes and practices to determine and identify the gaps, weaknesses, or unclear areas in the internal control system.
Next, define the goals and objectives of the frameworks clearly, ensuring they align with the organisationโs overall vision and compliance requirements.
Thirdly, you need to specify the duties and responsibilities of all the stakeholders, including the Board of Directors, management and staff, in order to ensure accountability and smooth implementation.
Accordingly, update or create the policies that support the internal control objectives; however, these should be aligned with the organisation's goals and regulatory requirements.
In this stage, you need to train the employees on new policies, procedures and their respective roles and responsibilities within the framework. While proper training ensures effective understanding and implementation.
A clear Standard Operating Procedure needs to be prepared outlining the step-by-step process for implementing the internal control framework and for achieving the organizational objectives.
Conduct regular audits, reviews and control testing to evaluate the effectiveness of the SOP and the overall internal control framework. Continuous monitoring ensures consistency and compliance.
Worried about complexities in the path of internal control and organisation SOPs for insurance companies?
The primary objective of the Internal Control and Organisation SOPs is to strengthen the governance and compliance framework within insurance companies. They aim to ensure that every insurer follows a structured internal control system and standardized operating procedures for smooth and compliant operations. These guidelines ensure that:
The list of eligibility criteria for internal control and organisation SOPs is as follows:
With deep expertise in insurance governance and regulatory compliance, Enterslice provides complete assistance in preparing, reviewing, and implementing Internal Control and Organisation SOPs for insurance companies.
Our solutions are designed to help insurance companies and intermediaries meet IRDAI norms while ensuring operational efficiency and strong risk management. Whether you want to streamline processes or strengthen governance, Enterslice ensures end-to-end support in securing an IRDA insurance license, an IRDAI regulatory sandbox, an insurance marketing firm license, etc.
Yes. All companies registered to provide insurance services are classified as public companies and must adhere to corporate governance norms. Compliance with governance standards is mandatory for these companies.
Corporate governance for public companies is primarily governed by the Companies Act, 2013. For insurance companies, the Insurance Regulatory and Development Authority of India (IRDAI) provides specific guidelines related to governance policies. If there is a governance problem in the company, what protocol should be followed? Any governance issues should be reported to the IRDAI, which has procedures to address corporate governance concerns. Additionally, every insurance company is required to have a whistleblower policy, enabling employees to report governance-related issues safely.
The corporate governance framework ensures transparency and accountability in an organization. The Chairman and CEO have distinct roles, and one cannot perform the functions of the other. Their responsibilities are defined to maintain proper checks and balances within the company.
No, not all committees are mandatory. However, for Internal Control and Organisation SOPs, the following committees are required:
The important five compliance best practices for drafting internal controls and SOPs for insurance companies are as follows:
Yes, according to the IRDAI and Companies Act regulations all insurance companies must maintain a proper internal control systems and organisational SOPs to ensure and maintain transparency, governance and compliance.
Yes, internal controls can help to reduce the operational risks of an organisation by identifying the potential risk and define checks, approvals and monitoring mechanisms to reduced fraud, financial misstatements or process breakdowns.
Internal control and organisation SOPs for insurance companies should be reviewed or updated annually or whenever there is a regulatory update, organisational change, or new business process introduced to keep them relevant and effective.
The time taken to complete the formulation of internal control and organisation SOPs for insurance companies depends on the size and process complexity. However, in general, it takes two to six weeks to assess systems, design workflows, and prepare comprehensive SOP documentation.
Red Herring Top 100 Asia enlists outstanding entrepreneurs and promising companies. It selects the award winners from approximately 2000 privately financed companies each year in the Asia. Since 1996, Red Herring has kept tabs on these up-and-comers. Red Herring editors were among the first to recognize that companies such as Google, Facebook, Kakao, Alibaba, Twitter, Rakuten, Salesforce.com, Xiaomi and YouTube would change the way we live and work.
Researchers have found out that organization using new technologies in their accounting and tax have better productivity as compared to those using the traditional methods. Complying with the recent technological trends in the accounting industry, Enterslice was formed to focus on the emerging start up companies and bring innovation in their traditional Chartered Accountants & Legal profession services, disrupt traditional Chartered Accountants practice mechanism & Lawyers.
-- Testimonials
โEnterslice and Its team made starting my company and running very easy. Their contribution in raising funds was immense. I highly recommend Enterslice to any one who wants to start a business in India. Thank you guys keep up the good work.โ
CEO - Solarix
โVery professional services. I am highly impressed by their courteous and client oriented attitude.โ
F Salon Paris
โThanks for your services. The team is really professional. They make sure that things are delivered in time. The best part about Enterslice is the consultative approach and guiding us on all our business matters.โ
Haiden Group - UAE
โI would like to thank the Enterslice team for the excellent business plan made by them. They understood our requirement and gave us exactly what we wanted. Thank you Team Enterslice.โ
โI have registered my Trademark through them. The application was filed within 3 days. And the charges were also very reasonable. We got TM Approved in 6 monthโs time without any re-submission or objection. They charge high to deliver the best in industry.โ
โThey provided customized and Highly skilled CA &services. The management invests themselves in your work. They ensured timely NBFC registration and are always ready and prepared with excellent advisory services. The best part of working with Enterslice is they are not having expertise of law but they are well versed with Digital marketing skills &fintech business model.โ
โGreat set of people working together. Very customer friendly. I am very satisfied with the food license registration services and will definitely come back for other similar requirements.โ
โI came to know about Enterslice through a friend. Since then I have done GST Registration through them. The services are consumer centric and fast. I have recommended them to many of my acquaintance already.โ
โI chose Enterslice to start my new Indian adventure as entrepreneur, and respect my past experience i was surprised by their professionalism. In particular, Raksha T. followed my startup process, and i was delighted with her support on every moment. Great, great experience.โ
โAmazing services provided by your organization. They have completed our NBFC registration order within stipulated time period of 90 days. They provide constant guidance and support in the process. Their support in building fintech software is amazing.โ
Stay updated with all the latest legal updates. Just enter your email address and subscribe for free!
Login
Get Started
WhatsApp
(+91) 9870310368 
(+1) 6292766228