T Vijayan, the Chairman of IRDAI said that the new regulations on reinsurance should come out by the end of February. These new regulations will determine the way the business will be done in the country and also the preference order.
Vijayan spoke to the press at the FICCI Annual Insurance Summit, and he said that the draft regulations have given to the stakeholders and posted their feedback, some changes might be made.
Last week IRDAI had said that the Indian reinsurers who have been in business for more than three years would lead the order of preference to place business with the reinsurers. After this, the preference will be given to the other players in the Indian market followed by the branches of foreign reinsurers and finally the cross body reinsurers. General Insurance Corporation of India (GIC) is the only reinsurer in the Indian market older than three years.