The Hindu Business Line : Surveyors want IRDA cap on business eased

IRDA has stipulated that a surveyor can undertake work in a maximum of three departments out of the various segments. These include fire, engineering, motor, miscellaneous, marine cargo, marine hull and loss of profit.

NEW DELHI, July 9

INSURANCE surveyors have sought a relaxation on the cap placed by Insurance Regulatory and Development Authority's (IRDA) on the number of categories within the general insurance business in which a surveyor is allowed to seek business.

However, the Institute of Insurance Surveyors and Adjusters (IISA) pointed out to the authority that the limitation is harming a large number of surveyors.

The IISA said that the restriction, in particular, is harming the business of those surveyors who had been in operation prior to the issue of regulations on licensing by the authority, with several of them having to forgo a large chunk of survey work that they had been undertaking earlier.

Under the IRDA regulations, all surveyors who had been issued licences prior to the new norms are deemed to hold a licence under the new regulations. However, they too have been asked to adhere to the subsequent cap of three categories place by the authority.

Confirming that the matter has been broached with the IRDA, the zonal Chairman of IISA, Mr A.K. Govil, said that the matter is likely to be discussed in the next categorisation meeting to be held by the regulatory body. However, he said that no firm date for the meeting has been held.

He pointed out that the problems are being felt more by surveyors working in smaller cities and towns such as Jalandhar, Kanpur, Moradabad and Haldwani.

"There are a large number of surveyors running into thousands who work from non-metro cities.

They are being hard hit with the business emanating out of three categories at times not being enough to meet their cost,'' Mr Govil said.

IRDA should immediately consider providing the leeway of at least adding one more category to the three that each of the surveyor has already indicated by them to the authority.

"Allowing one more category to be added would help alleviate their problem in the immediate future,'' Mr Govil said.

While issuing norms for categorisation of surveyors in September 2001, IRDA had said that once a surveyor chooses the three categories for which work can be allotted no alteration would be allowed before the expiry of a year.

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