In 2019 the Insurance Regulatory and Development Authority of India (the IRDAI) issued a circular requiring all Indian cedants to obtain confirmation from both local and cross border reinsurers of their participation on risk.

Description

The IRDAI subsequently issued new guidelines in January 2021 on the Cross-Border Reinsurer (CBR) registration process which established that participation on risk and premium receipt confirmation was now linked to the issuance of the annual Filing Reference Number (FRN) allowing reinsurers who do not have a physical presence in India to access Indian reinsurance business on a cross-border basis. Failing to provide participation on risk and premium receipt confirmation could either delay the issuance of the FRN or see a CBR application being rejected.

Following discussions with market participants, Lloyd’s issued guidance in September 2021 to support the market in the provision of the required confirmations.

The IRDAI has assigned the General Insurance Council of India (GI Council) as administrator for the establishment of an Electronic Transaction Administration and Settlement System (ETASS) which is a platform being developed to support the capture of risk participation and premium receipt confirmations from reinsurers. ETASS is being designed with the expectation that each reinsurer (and therefore each Lloyd’s syndicate) will have access to the system and will be responsible for providing risk participation and premium receipt confirmation for their own individual shares.

GI Council will provide a Demo and opportunity for members to raise any questions they may have on ETASS.

Audience

Compliance officers, lawyers and anyone interested in Indian business. This even is open to LMA members only.