Question : MMoU with IAIS

(a) Whether the International Association of Insurance Supervisors (IAIS) is an international forum for mutual co-operation and information exchange between insurance supervisors;
(b) If so, whether the IAIS is unable to ensure co-operation and information exchange between the signatory authorities in the absence of any bilateral agreements where cross border issues arise in regard to the supervision of insurance companies;
(c) if so, the details thereof;
(d) whether India has signed Multilateral Memorandum of Understanding (MMoU) of the said IAIS; and
(e) if so, the details thereof.

THE FINANCE MINISTER


(a) to (e) : A Statement is laid on the Table of the House.

*****




STATEMENT REFERRED TO IN REPLY TO PART (a) TO (e) OF LOK SABHA STARRED QUESTION NUMBER †*123 FOR 1ST JULY, 2019 REGARDING MMoU WITH IAIS TABLED BY SHRI VISHNU DAYAL RAM, HON’BLE MEMBER OF PARLIAMENT

(a) to (e):The International Association of Insurance Supervisors (IAIS) based in Basel, Switzerland, is a non-profit organization, that seeks to establish international standards for promoting effective and globally consistent supervision of the insurance industry in order to develop and maintain fair, safe and stable insurance markets for the benefit and protection of policyholders and contribute to global financial stability.
India, represented by the Insurance Regulatory and Development Authority of India (IRDAI), was admitted as a signatory to the Multilateral Memorandum of Understanding (MMoU), in May 2013, with the objective to establish a formal basis, inter alia, for cooperation and information exchange among the signatory authorities regarding the supervision of insurance companies where cross border aspects arise. MMoU framework of IAIS is a tool for effective cooperation and information exchange among the Signatory Authorities. However, the IAIS MMoU does not affect any provisions under other multilateral or bilateral agreements. Further, the MMoU does not affect the freedom of signatories to cooperate and exchange information on bilateral basis or beyond the scope of the MMoU. IRDAI has not come across any such situation wherein the IAIS has failed to ensure cooperation and information exchange in the absence of any bilateral agreements.
******