IRDAI Specifies Rule for Point-of- Sales Person of Life Insurance

The sector regulator has specified the condition under which a Point-of- Sales Person (PoSP) is allowed to selllife insurance policies. The concept of a (PoSP)was introduced late last year by the Insurance Regulatory and Development Authority of India (Irdai). Defined as an individual with the minimum qualifications specified, plus having undergone training and passed the required examination.

 For life insurance policy sales (pure term, non-linked endowment, immediate annuity product and others), the PoSP is question must be a tleast 18 years of age and having passed Class X in school. An insurer or insuranceintermediary authorised to solicit for the life insurancebusiness can engage such people. The life insurer in question, Irdai says, shall be responsible for the conduct of the PoSP. Any misconduct by the latter shall make the life insurer (or insurance intermediary) liable for penalisation as in Section 102 of the Act in question.