IRDA license or the license to web aggregate insurance service is one that many entrepreneurs are now searching for. The Insurance Regulatory Development Authority of India, to keep up with the times, has provided this particular license. By allowing the insurance web aggregators to exist, IRDA’s motive was to bring the old trade of insurance policies into the modern and digitized age.

Those belonging to the insurance web aggregator list aren’t intermediaries. Their job isn’t to market any insurance product. It’s to provide information about the policies to the customers. Letting the customer choose the insurance policies that they need based on that information.

But how to get an IRDA license in India? In this article, we are going to dive into how you can start this unique form of insurance business.

What is an insurance web aggregator
An aggregator collects a web aggregator is one that collects on the internet. Combining these terms with insurance, you get an entity that collects insurance policies on the web. An insurance web aggregator has the following duties:

• Establishing connections with insurance companies.
• Presenting the insurance policies of those companies as products on its website.
• Letting the customer peruse through the insurance policies.
• Providing customers with complete unbiased information about insurance policies and not using any marketing term to manipulate them.
• Providing the customers a module using which they can compare insurance policies as per their needs.
• Providing a platform for the customers to buy the insurance policies.

Eligibility of the Insurance Web aggregator license
Due to the gravity of the business of aggregating insurance policies, and the need to protect the interest of customers, IRDA has made some stringent guidelines about insurance web aggregator licenses. As per them, only those who fall within the points below can apply for the web aggregator license.

The applicant has to be a business entity like a company or an LLP.

The company’s or LLP’s MOA or LLP Agreement should clearly state that the objective of the business entity is insurance web aggregation.

The applicant isn’t allowed to do any side business if he is committed to insurance web aggregation.

The applicant shouldn’t be part of any profession within the insurance domain that can create a “conflict of interest”. That means, no insurance agent, corporate agent, micro-insurance agent, insurance marketing firm, TPA, microfinance agent, or a surveyor and loss assessor is eligible to apply for the IRDA web aggregator license.

The applicant company should have a personal officer who will be responsible for overseeing the insurance web aggregation activities.

The employees and the KPM of the company should fit the “FIT and PROPER” criteria

Process of getting the IRDA license for web aggregator
To acquire the IRDA web aggregator license, the steps to be followed are given below:

• First, a company or an LLP has to be incorporated whose objective would be to provide insurance web aggregator services in India.
• Then, an application will be filed using FORM A.
• Documents required will be submitted to the IRDA along with the application.
• Upon receiving the application, the IRDA will start running an assessment on the applicant.
• If the applicant has taken all the correct steps, and it’s in the public’s best interest for his or her insurance web aggregator policy to take off, the IRDA will grant him or her the insurance web aggregator License India.

Documents required to apply for insurance web aggregator license
Following are the documents the applicant requires to attach the application to get the IRDA license for web aggregator:

• Incorporation certificate of the company or the LLP
• MOA of the company or LLP agreement of the LLP
• PAN Card of the company or the LLP
• Profiles of directors of the company or partners of the LLP
• Net worth certificate of the company or the LLP
• The audited balance sheet of the past 3 years of the company or the LLP.
• Details of the IT infrastructure of the company or the LLP.
• The organizational chart of the company or the LLP.
• Backend access to the insurance web aggregator website.
• Receipt of the IRDA web aggregator license fees.

Conclusion
An insurance web aggregator is a business to aggregate and provides the option to choose between different insurance policies. Its complex nature compels the IRDA to create restrictive eligibility criteria. Even if the eligibility criteria are met, it’s not easy to get the IRDA license to run that business. This is why we have IRDA consultants to assist you. You can file your application on your own, or you can file the application and get the license within half the time. Get the IRDA license in half the time with a quarter of an effort.