Insurance Policies Must Be Linked With Aadhaar: five Things to Know
“For obtaining financial services including insurance, its mandatory to have Aadhaar and PAN/Form 60”,said IRDAI.
It is mandatory to link Insurance policies with Aadhaar. Insurance Regulatory and Development Authority of India (IRDAI) said this.Being already compulsory for many essential tasks, it is required to link insurance policies also with Aadhaar card. The Insurance regulator IRDAI requested general and Life insurers, to implement this rule without waiting for further instructions. In a statement dated 8 November 2017, the regulator mentioned that insurance policy-Aadhaar linkage is compulsory as per the Prevention of Money-laundering (Maintenance of Records) Second Amendment Rules, 2017. IRDA said, “Statutory force is there with these rules and hence, life and general insurers (including standalone health insurers) need to implement these without waiting for further instructions”. Customers are being asked by many insurance companies to update their KYC details plus PAN and Aadhaar.
Five facts related to Aadhaar card-insurance policies linkage are:
IRDAI mentioned that it is mandatory to have Aadhaar and PAN/Form 60 in order to obtain financial services including insurance. Those who do not own a PAN (Permanent Account Number) card, require submitting form 60/61 for those transactions where it is mandatory to quote PAN.
IRDAI said, “Gazette notification by Central Government dated June 1st 2017 mentioned the Prevention of Money-laundering Second Amendment Rules (Maintenance of Records), 2017 which makes Aadhaar and PAN/Form 60 compulsory in order to avail financial services along with Insurance and also to link the prevailing policies”.
It has been clarified by IRDAI that the Aadhaar linkage rule is validfor general insurance companies together with individual health insurers and life insurance companies.
IRDAI, established by Parliament’s act that ensure fair treatment to and protects the interest of policyholders, involves 10 members –5 full-time members, 4 part-time members and a chairperson.
24 life insurance companies are there and 33 general insurers (together with individual health insurers) are operational in India.
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