Process for Insurance Web Aggregator License Renewal

The Insurance Web Aggregator License is issued by the Insurance regulatory authority i.e., IRDAI. The license is valid for 3 years period, and the license can be renewed by following the simple process for renewal. The web aggregator license can be applied for renewal provided it is suspended/cancelled by the relevant authority.  In this article, we shall have a brief overview of Insurance Web Aggregator License renewal process.

What is Insurance Web Aggregator License?

Insurance Web Aggregator License is required for those who are engaged in a business of insurance web aggregation. Insurance web aggregators collect and compile information about various companies’ insurance policies. They are like an intermediary between insurance companies and people who wish to take insurance policies.

Eligibility criteria for Insurance Web Aggregator License Renewal

For renewal of the license, the applicant needs to ensure fulfilment of the following conditions:

• The applicant should be a person as prescribed under regulation 1(i);
• The MOA of the company should have the business of web aggregation of insurance product only as its main object;
• The applicant should not be engaged in any other business^[1] apart from the main object;
• The applicant must not be licensed/registered as an insurance agent, corporate agent, TPA, surveyor, loss assessor etc;
• The applicant must not have referral arrangement with insurer.

Procedure for Insurance Web Aggregator License Renewal

The process for renewal of the Insurance Web Aggregator License is as follows:

• The web aggregator company is required to file an application with the Insurance regulatory authority in Form F at least 30 days before the expiry of such license. The company can also file the renewal application 90 days before expiry of the license.
• The application is to be submitted along with the documents prescribed. Further, the application should be filed with the appropriate renewal fee. The fee has to be paid in the form of a bank draft drawn in favor of IRDAI. The fee can be paid electronically.
• In case where the company fails to file the application for renewal at least 30 days before the expiry date, the company will be liable to pay penalty. In such case, the applicant company can provide reasons in writing to the IRDAI for application acceptance. In such case, the authority can accept the application even after 60 days of expiry.
• The application for Insurance Web Aggregator License Renewal is verified by the regulatory authority to see if the applicant’s license can be renewed.
• The Insurance Web Aggregator is also required to verify that the principal officer as well as the authorized verifiers of the company have got the renewal training not more than 6 months before.
• Once the IRDAI verifies the application and is satisfied that the applicant has met all the conditions provided under regulations for web aggregator registration renewal, the authority issues the license to the applicant for another 3 year period.
• It is worth mentioning here that if the IRDAI believes that the applicant has not performed insurance aggregation activities during its previous registration, entirely or partly then it can refuse to renew the license.

Insurance Web Aggregator License Renewal: Documents required

The following documents are required for license renewal:

• Self-certified undertaking in the format prescribed under Annex 1 of the regulations;
• Confirmation about the place where the website of the company is hosted, including places such as registered office/operations office if there is any change;
• A list of individuals who control the digital platform or responsible for management of the activities of insurance web aggregation;
• Business plan for minimum next 3 years;
• Certificate of renewal of the insurance training of the principal officer and authorized verifiers;
• Bank draft.

Conclusion

The process of Insurance Web Aggregator License Renewal can be complicated for those who look to file the application on their own. Hence it is advised that you should take the assistance of Insurance Web Aggregation experts before filing the application.

Read our article:Insurance Web Aggregator License Registration