Just like SBI, HDFC are the kings of banking, their rule will remain in the insurance sector including LIC.

State Bank of India (SBI), HDFC Bank, ICICI Bank are considered to be their rule in the banking sector. These are very important for the banking sector of the country. Similarly, now these companies along with LIC will be considered important for insurance companies.

State Bank of India (SBI), HDFC Bank, ICICI Bank are considered to be their rule in the banking sector. These are very important for the banking sector of the country. Similarly, now these companies along with LIC will be considered important for insurance companies. Let's know the complete details. In fact, regulator Irdai said on Friday that Life Insurance Corporation of India, General Insurance Corporation of India and New India Assurance Company will continue as Domestic Systemically Important Insurers (D-SIIs). And they would be considered too big or too important to fail.

Which companies are given this status?

Domestic Systematic Important Insurers (D-SIIs) are those insurance companies whose size, market importance or their failure would result in significant damage to the domestic financial system.

Therefore, continued functioning of D-SIIs is vital for uninterrupted availability of insurance services to the country's economy. Releasing the list of D-SIIs for the year 2022-23, the Insurance Regulatory and Development Authority of India (IRDA) said that LIC, GIC Re. And New India has been asked to be recognized as Domestic Systematically Important Insurers (D-SIIs). He said that D-SIIs are those insurance companies, which are too big or important to fail.

What effect will this have?

According to IRDA, the risk-taking ability can increase with the support of the government. The regulator said that additional regulatory norms will also apply to D-SIIs to deal with systematic risk and signal issues. He further said that regulatory monitoring on D-SIIs will also be increased.

Earlier in February, the Insurance Regulatory and Development Authority of India (Irdai) made several changes to protect policyholders in India. From opening up the industry to private participation in the early 2000s to easing distribution norms, IRDA has taken several steps over the past 20 years to drive company growth and improve customer experience. With the opening up of the distribution network and the increase in the extent of tie-up with corporate agents and insurance marketing companies, insurance has become accessible to the masses.