CIRCULAR

Ref:IRDA/RI/CIR/MISC/004/01/2019 7^thJanuary, 2019

To

CMDs/CEOsof Indian Reinsurers, Branches of Foreign Reinsurers (FRBs) & Lloyd’s Indiaand In-charges of IFSC Insurance Offices (IIOs) registered for carrying onreinsurance business.

Re:Applicability of Regulations/Guidelines/Circulars to registered reinsuranceentities.

TheReinsurance Expert Committee (REC), constituted by the Authority, had submittedits recommendations on the regulatory framework for reinsurance entities. Authorityhas also received representations from registered reinsurance entities and GICouncil to provide clarification on applicability of certain regulations /guidelines/circulars to Indian Reinsurers, FRBs and Lloyd’s India. Authority has reviewedthe representations and applicability of other relevantRegulations/Guidelines/Circulars.

Onthe basis of the review and recommendations of REC, it is clarified that thebelow mentioned Regulations/Guidelines/Circulars shall not be applicable toIndian Re-insurers, Branches of Foreign Re-insurers, Lloyd’s India, ServiceCos. of Lloyd’s India and IFSC Insurance Offices registered for carrying onreinsurance business.

Itis further clarified that the Circular on estimating EconomicCapital of Non-Life Insurers (including Stand Alone Health Insurers), Ref No- IRDA/ACT/CIR/MIS/111/05/2011, dated 25.05.2011 shall not be applicable to Branchesof Foreign Re-insurers, Lloyd’s India, Service Cos. of Lloyd’s India and IFSCInsurance Offices registered for carrying on reinsurance business.However, the said circular shall be applicable to the Indian Re-insurers.

Theabove clarification is issued under Regulations 14 of the IRDA Act and under Powerof Authority to issue clarifications in respective regulations/guidelines.

(P.J.Joseph)

Member(Non-Life)