{"id":32715,"date":"2021-07-09T11:52:27","date_gmt":"2021-07-09T06:22:27","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=32715"},"modified":"2021-07-09T11:52:29","modified_gmt":"2021-07-09T06:22:29","slug":"compliances-for-insurance-web-aggregator-in-india","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/compliances-for-insurance-web-aggregator-in-india\/","title":{"rendered":"What are the Compliances for Insurance Web Aggregator in India? &#8211; An Overview"},"content":{"rendered":"\n<p class=\"has-drop-cap\">In India, the provision of the Insurance Act and the Companies Act governs the idea of an Insurance Web Aggregator. Moreover, a company should acquire an <a href=\"https:\/\/corpbiz.io\/insurance-web-aggregator-license\"><strong>Insurance Web Aggregator License<\/strong><\/a> from the <strong><em>IRDAI (Insurance Regulatory and Development Authority of India) <\/em><\/strong>to operate as a Web Aggregator. There are several other companies for web aggregators, and you can check the same below.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/compliances-for-insurance-web-aggregator-in-india\/#Insurance_Web_Aggregators_%E2%80%93_Who_are_they\" >Insurance\nWeb Aggregators \u2013 Who are they?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/compliances-for-insurance-web-aggregator-in-india\/#Capital_Necessities_for_an_Insurance_Web_Aggregator\" >Capital\nNecessities for an Insurance Web Aggregator<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/compliances-for-insurance-web-aggregator-in-india\/#Net-worth_Criteria_to_be_followed\" >Net-worth\nCriteria to be followed<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/compliances-for-insurance-web-aggregator-in-india\/#Compliances_to_be_Fulfilled_by_Insurance_Web_Aggregator_in_India\" >Compliances\nto be Fulfilled by Insurance Web Aggregator in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/compliances-for-insurance-web-aggregator-in-india\/#Dos_and_Donts_for_Insurance_Web_Aggregator_in_India\" >Dos\u2019\nand Don\u2019ts\u2019 for Insurance Web Aggregator in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/compliances-for-insurance-web-aggregator-in-india\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Insurance_Web_Aggregators_%E2%80%93_Who_are_they\"><\/span>Insurance\nWeb Aggregators \u2013 Who are they?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In\nIndia, the Insurance Web Aggregator compiles, collects, and extends information\nconcerning different insurance policies of various entities on a website. They\nperform as a mediator between people and the insurance company who are looking\nfor insurance policies.<\/p>\n\n\n\n<p>They\nare a business company that maintains a website providing information on\ndifferent insurance policies provided by various insurance entities or\ncompanies. They are majorly governed by the <strong><em>IRDAI (Insurance Web Aggregator)\nRegulations, 2017<\/em><\/strong>.<\/p>\n\n\n\n<p>Further,\nthey gather data on various policies of insurance companies\/entities and upload\nthe same on an online portal. People wishing an insurance policy may go to this\nportal and compare the prices, products, and other information provided by\ninsurance companies and then make a decision.<\/p>\n\n\n\n<p><strong>Following are the different\nroles of a Web Aggregator:<\/strong><\/p>\n\n\n\n<ul><li>Agreements are made between insurers &amp; Web Aggregators. All vital information concerning the insurance products has to be provided;<\/li><li>Web Aggregators can show only insurance products;<\/li><li>Information concerning insurance products is shown on the portal or website;<\/li><li>Compare products of insurance;<\/li><li>Having an Insurance Web Aggregator License wouldn\u2019t allow a Web Aggregator to deliver comparison and ranking of various insurance providers and their insurance products;<\/li><li>Only Web Aggregators permit solicitation of policies;<\/li><li>Solicitation is completed via an online website where information would be provided to the consumer directly;<\/li><\/ul>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/online-insurance-broker-license-everything-you-need-to-know\/\">Insurance Broker License: Everything you need to know <\/a><\/mark><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Capital_Necessities_for_an_Insurance_Web_Aggregator\"><\/span>Capital\nNecessities for an Insurance Web Aggregator<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>Following are the capital necessities to be fulfilled are as follows:<\/em><\/strong><\/p>\n\n\n\n<ul><li>The candidate must have minimum\npaid-up capital of Rs. 25 lakh;<\/li><li>The shares of candidates held\nas capital should not be promised in any manner for protecting credit or other\nfacilities and at all times be unobstructed;<\/li><li>If they are a company which is\nincorporated under the Companies Act, 2013, the capital must be subscribed and\nissued in the equity shares form, IF it is an LLP (Limited Liability\nPartnership), then the contribution of partners to the Limited Liability\nPartnership, the contribution of partners to the Limited Liability Partnership\nmust be in cash only.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Net-worth_Criteria_to_be_followed\"><\/span>Net-worth\nCriteria to be followed<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>Following is the net-worth criteria that should be fulfilled or followed by the candidate:<\/em><\/strong><\/p>\n\n\n\n<ul><li>The candidate should review the total worth half-yearly status on March 31<sup>st<\/sup> and September 30<sup>th<\/sup> every year. The candidate should report any non-compliance to the Insurance Regulatory and Development Authority of India within fifteen days. Then the candidate must restore the necessities in thirty days and confirm the same to the IRDAI;<\/li><li>The candidate must submit the <strong><em>Net-Worth Certificate<\/em><\/strong> authorized by a Chartered Accountant (CA) to the IRDAI every year after completing books of accounts;<\/li><li>The net worth of the candidate should not less than 100% of the minimum capital requirements;<\/li><li>If the candidate is not able to maintain the net worth after thirty days, the Insurance Aggregation business should be stopped.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Compliances_to_be_Fulfilled_by_Insurance_Web_Aggregator_in_India\"><\/span>Compliances\nto be Fulfilled by Insurance Web Aggregator in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The candidate must follow all the conditions as given below:<\/em><\/strong><\/p>\n\n\n\n<ul><li>The candidate can only ask for insurance and get many insurance policies commensurate with the resources;<\/li><li>The candidate must notify the IRDAI of any false or misleading information in the earlier submitted documents;<\/li><li>The candidate must comply with the code of conduct &amp; condition given by the IRDAI from time to time;<\/li><li>The Insurance Web Aggregator shall uphold records in the specified manner, which will capture policy-wise details and shall set up systems that allow regular access to such records by the authority;<\/li><li>The candidate should obey the provisions of the IRDAI Act, 1999 and the guidelines &amp; regulations issued thereunder.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Dos_and_Donts_for_Insurance_Web_Aggregator_in_India\"><\/span>Dos\u2019\nand Don\u2019ts\u2019 for Insurance Web Aggregator in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The Web Aggregator Dos:<\/em><\/strong><\/p>\n\n\n\n<ul><li>Show information concerning insurers who have signed the agreement with the web aggregators;<\/li><li>Perform and carry out activities for the purpose of lead generation for issuers;<\/li><li>Make sure that the information systems, consisting of the aggregation portals, lead management system and date centres hosting website\/portals or lead management system, are audited by the CERT;<\/li><li>Make sure that the leads and other data are sent to the insurers and others through protected layer data encryption technologies;<\/li><li>Make sure that the information systems comprising the aggregation website, data centres &amp; lead management system hosting lead management system\/portals complies with usually accepted information protection standards and procedures in force in India;<\/li><li>Use only the <strong><em>Reserve Bank of India<\/em><\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Reserve_Bank_of_India\"><strong><em>[1]<\/em><\/strong><\/a><\/sup> (RBI) licensed Payment Gateways for transfer &amp; collection of premium to insurers when the web aggregator is certified by the insurer to gather premium on behalf of the insurer.<\/li><\/ul>\n\n\n\n<p><strong><em>The Insurance Web Aggregator Don\u2019ts:<\/em><\/strong><\/p>\n\n\n\n<ul><li>Show the information related to services or products of other financial organisations or FMCG on the website or portal;<\/li><li>Operate the portal of other financial or commercial companies or use other social media platforms, etc. for products\u2019 comparison;<\/li><li>Show advertising of any form, either regarding any products or services comprising insurance services or products, other financial products or services in the website of the web aggregator;<\/li><li>Function in any other way for the aim of transmitting leads to any company that is involved in the insurance business;<\/li><li>Function several portals of tie-up with any other unapproved or approved, unlicensed companies or websites for lead generation, etc., subject to some exceptions.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Information gathered and fulfilled by the Insurance Web Aggregator is uploaded on the online website to make sure that the customers seeking insurance could easily access it. Moreover, all pre-compliance and post-compliances should be strictly fulfilled by all the Insurance Web Aggregators in India. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/know-about-insurance-web-aggregator-license-benefits-eligibility-and-registration-process\/\">Know about Insurance Web Aggregator License; Benefits, Eligibility and Registration Process <\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In India, the provision of the Insurance Act and the Companies Act governs the idea of an Insurance Web Aggregator. Moreover, a company should acquire an Insurance Web Aggregator License from the IRDAI (Insurance Regulatory and Development Authority of India) to operate as a Web Aggregator. There are several other companies for web aggregators, and [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":32729,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[333],"tags":[1854],"acf":{"service_id":"194"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":4357,"readingTime":4,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32715"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=32715"}],"version-history":[{"count":14,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32715\/revisions"}],"predecessor-version":[{"id":32732,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32715\/revisions\/32732"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/32729"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=32715"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=32715"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=32715"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}