CCI Closes Case Against Public Sector Insurers

After finding no evidence of violations, fair trade regulator CCI has closed the case against four public sector general insurers that were alleged to have indulged in unfair business ways. 

Competition Commission of India (CCI) had ordered a detailed investigation in September 2014 into the complaint against the insurers filed by Association of Third Party Administrators (ATPA).

To a query about the case, Corporate Affairs Minister Arun Jaitley told the Rajya Sabha that Director General of CCI had submitted two reports last year to the regulator. The main probe report was given in February and a supplementary one in June. 

"The Commission, after considering the investigation reports, did not find any contravention of the provisions of the Competition Act, 2002 by the opposite parties and closed the matter... Vide order dated January 4, 2016," Jaitley said in the written reply. 

ATPA had filed a complaint against the General Insurers (Public Sector) Association of India (GIPSA) and the central government. New India Assurance, Oriental Insurance, United Insurance and National Insurance are the members of GIPSA. 

It was also alleged that GIPSA was providing a platform to the insurance companies to share sensitive information with each other which affects competition in the markets, among others.

DG is the investigation arm of the Competition Commission of India (CCI).