The Insurance Regulatory and Development Authority Act, 1999

(1) This Act may be called the Insurance Regulatoryand Development Authority Act, 1999. (2) It extends to the whole of India. (3) It shall come into force on such date 1 as the Central Government may, by notification in theOfficial Gazette, appoint: Provided that different dates may be appointed for different provisions of this Act and any referencein any such provision to the commencement of this Act shall be construed as a reference to the cominginto force of that provision.

(1) In this Act, unless the context otherwise requires,-- (a) appointed day means the date on which the Authority is established under sub-section (1)of section 3; (b) "Authority" means the Insurance Regulatory and Development Authority 1[of India]established under sub-section (1) of section 3; (c) "Chairperson" means the Chairperson of the Authority; (d) "Fund" means the Insurance Regulatory and Development Authority Fund constituted undersub-section (1) of section 16; (e) "Interim Insurance Regulatory Authority" means the Insurance Regulatory Authority set up bythe Central Government through Resolution No. 17(2)/94-Ins.-V, dated the 23rd January, 1996; 2[(f) intermediary or insurance intermediary includes insurance brokers, re-insurance brokers,insurance consultants, corporate agents, third party administrator, surveyors and loss assessors andsuch other entities, as may be notified by the Authority from time to time;] (g) "member" means a whole-time or a part-time member of the Authority and includes theChairperson; (h) "notification" means a notification published in the Official Gazette; (i) "prescribed" means prescribed by rules made under this Act; (j) "regulations" means the regulations made by the Authority. (2) Words and expressions used and not defined in this Act but defined in the Insurance Act, 1938(4 of 1938) or the Life Insurance Corporation Act, 1956 (31 of 1956) or the General Insurance Business(Nationalisation) Act, 1972 (57 of 1972) shall have the meanings respectively assigned to them in thoseActs.

(1) With effect from such date as the CentralGovernment may, by notification, appoint, there shall be established, for the purposes of this Act, anAuthority to be called the Insurance Regulatory and Development Authority 1[of India]." (2) The Authority shall be a body corporate by the name aforesaid having perpetual succession and acommon seal with power, subject to the provisions of this Act, to acquire, hold and dispose of property,both movable and immovable, and to contract and shall, by the said name, sue or be sued. (3) The head office of the Authority shall be at such place as the Central Government may decidefrom time to time. (4) The Authority may establish offices at other places in India.

The Authority shall consist of the following members, namely:-- (a) a Chairperson; (b) not more than five whole-time members; (c) not more than four part-time members, to be appointed by the Central Government from amongst persons of ability, integrity and standing whohave knowledge or experience in life insurance, general insurance, actuarial science, finance, economics,law, accountancy, administration or any other discipline which would, in the opinion of the CentralGovernment, be useful to the Authority: Provided that the Central Government shall, while appointing the Chairperson and the whole-timemembers, ensure that at least one person each is a person having knowledge or experience in lifeinsurance, general insurance or actuarial science, respectively.

(1) The Chairperson and every otherwhole-time member shall hold office for a term of five years from the date on which he enters upon hisoffice and shall be eligible for reappointment: Provided that no person shall hold office as a Chairperson after he has attained the age of sixty-fiveyears: Provided further that no person shall hold office as a whole-time member after he has attained the ageof sixty-two years. (2) A part-time member shall hold office for a term not exceeding five years from the date on whichhe enters upon his office. (3) Notwithstanding anything contained in sub-section (1) or sub-section (2), a member may-- (a) relinquish his office by giving in writing to the Central Government notice of not less thanthree months; or (b) be removed from his office in accordance with the provisions of section 6.