IRDAI-Registered Insurance Brokers in India 

India’s insurance sector has witnessed phenomenal growth over the past decade, driven by rising awareness, digital innovation, increasing disposable incomes, and Modi government initiatives such as Ayushman Bharat, PMFBY, and Jan Suraksha Yojana. As the country becomes more risk-aware and financially literate, the demand for personalized insurance solutions has soared—creating fertile ground for insurance broking company registration unlike other company registration. 

The role of insurance brokers has never been more important. Unlike agents who represent a single insurer, brokers work independently, offering clients a choice of policies from multiple insurers, helping them compare products, manage claims, and ensure optimum coverage. According to IRDAI’s latest reports: 

• Insurance penetration in India is still below 5%, signifying massive untapped potential.

• Premiums collected by general insurers and life insurers are growing at double-digit rates year-on-year.

• Digital-first broking platforms and tech-savvy startups are redefining how insurance is sold and serviced in India. 

Some examples of IRDAI-Registered Insurance Brokers in India:

Policybazaar Insurance Brokers Pvt. Ltd.: One of India’s largest digital insurance brokers, offering comparison and purchase options across life, health, motor, and travel insurance.

SecureNow Insurance Broker Pvt. Ltd.: A corporate-focused broker helping businesses with group insurance, cyber risk, marine, and liability coverage.

Turtlemint Insurance Broking Services Pvt. Ltd.: A mobile-first platform using algorithms to recommend optimal insurance policies via a large advisor network.

Anviti Insurance Brokers Pvt. Ltd. (Now renamed Aon India Insurance Brokers): A prominent corporate broker catering to large enterprises and employee benefit solutions.

Mahindra Insurance Brokers Ltd. (MIBL): A rural insurance specialist focusing on motor and life insurance through an extensive offline network.

In this booming ecosystem, many startup companies, NBFC companies, fintech companies , and financial advisory firms are exploring how to become registered insurance brokers to tap into this regulated and high-growth domain.

In the following sections, we break down the detailed eligibility criteria, capital requirements, registration procedure, and compliance norms prescribed by the IRDAI (Insurance Brokers) Regulations, 2018 to help you to handle this journey with clarity.

Whether you're looking to start an insurance broking company or help someone with the regulatory process, this FAQ on Insurance broker company registration provides all the detailed explanations you need—from eligibility capital norms and requirements to register an insurance broker form or company:-

What are the categories of insurance brokers under IRDAI?

IRDAI categorizes insurance brokers licenses into the following types: 

• Direct Broker (Life) – Handles only life insurance products like term plans, endowment, ULIPs, annuities, etc.

• Direct Broker (General) – Deals with non-life insurance like motor, health, marine, fire, liability, etc.

• Direct Broker (Life & General) – Allowed to operate in both life and general insurance domains.

• Reinsurance Broker – Specializes in placing reinsurance business between insurers and reinsurers in India or abroad.

• Composite Broker – A combination of direct and reinsurance broking. They can deal with both primary insurance and reinsurance. 

Each category has specific capital and compliance obligations depending on the risk and market size they handle.

Who is a Direct Broker?

A Direct Broker is an intermediary licensed by IRDAI to: 

• Solicit and procure retail insurance products from various insurers in India.

• Advise clients on suitable insurance options.

• Help in claims management and policy servicing.

• Assist in creating e-insurance accounts and issuing electronic policies. 

They do not handle reinsurance business. Their role is focused on retail or commercial insurance customers.

Who is a Reinsurance Broker?

A Reinsurance Broker is licensed to arrange reinsurance contracts between insurers and reinsurers and responsibilities include: 

• Understanding the insurer’s risk profile and advising on suitable reinsurance structures.

• Negotiating with international reinsurers or brokers.

• Managing treaty and facultative placements.

• Helping insurers recover claims from reinsurers. 

Reinsurance brokers play a critical role in risk mitigation for insurance companies.

Who is a Composite Broker?

A Composite Broker can perform both direct and reinsurance broking functions, subject to compliance with IRDAI norms. Key points: 

• They must ensure that conflict of interest is avoided.

• A Composite Broker must have systems in place to separate direct and reinsurance transactions.

• For the same client and contract, they must not handle both sides unless chosen transparently by all parties. 

Who is the Principal Officer of an insurance broker?

The Principal Officer (PO) is the person who is: 

• Designated in an executive capacity (e.g., CEO, WTD, Managing Director).

• Responsible for day-to-day regulatory compliance and management.

• Required to undergo mandatory training (50/100 hours based on category) and clear the IRDAI examination.

  The PO is legally accountable to IRDAI for the conduct of the broking entity. 

Learn here what is the penalty for non appointment of KMP ? 

Who is a Broker Qualified Person (BQP)?

A Broker Qualified Person is an employee or director who: 

• Is actively involved in sales and advisory.

• Has completed IRDAI-approved training and passed the examination.

• Must be certified in the relevant line (life/general/reinsurance). 

At least two BQPs are mandatory in each domain the broker operates in.

Who is considered a Key Management Person (KMP)?

KMPs include: 

• Chief Executive Officer

• Chief Financial Officer

• Head of IT / Reinsurance

• Chief Marketing Officer

• Compliance Officer 

They are the strategic decision-makers and must meet the “fit and proper” criteria, including no history of conviction or regulatory non-compliance.

Who can be registered as an Insurance Broker?

IRDAI allows the following entities: 

• Company registration under Companies Act, 2013.

• LLP registration under LLP Act, 2008 (no foreign partner).

• Cooperative Societies under the Cooperative Societies Act, 1912.

• Other Persons as recognized by IRDAI (rare and subject to conditions). 

Note: Proprietorships and partnerships (not LLP) are not eligible.

Can an insurance broker carry out other business?

No. Brokers cannot undertake any other business, whether financial, consulting, or tech-related, except as explicitly allowed by IRDAI. The entire focus must remain on broking and associated services like claims assistance and risk consultancy.

Why should the broker's name include “Insurance Broker” or similar?

This ensures transparency and public awareness. IRDAI mandates that all brokers: 

• Include terms like “Insurance Broker,” “Insurance Brokers,” or “Insurance Broking” in the company name.

• It helps in identifying the entity’s licensed activity and distinguishing it from agents, corporate agents, or aggregators. 

What is a No Objection Certificate (NOC) and why is it needed?

An NOC from IRDAI is required: 

• Before incorporating a new insurance broking company.

• Before changing the name of an existing company to include "Insurance Broker" or similar. 

This ensures the proposed entity is not misleading or duplicative of existing licensed brokers.

What is the validity of the IRDAI NOC?

Typically IRDAI NOC is taken for Name approval from MCA, valid for 6 months, within which the entity must complete incorporation and proceed with the registration process.

Who can act as the Principal Officer?

Anyone in a senior, full-time executive role such as: 

• CEO, Managing Director, WTD, Managing Partner

• With prior experience and qualifications

• Must have cleared the IRDAI training and certification 

What is the capital requirement for Insurance Brokers? 

What is the net worth requirement? 

FAQs

Q1. How is net worth calculated? 

Ans. As per Companies Act, 2013: Net Worth = Paid-up Equity + Free Reserves – Accumulated Losses – Intangibles.

Auditor certification is required and must be filed half-yearly with IRDAI.

Q2. What is the FDI limit in insurance broking? 

Ans. Foreign Direct Investment is allowed up to 74% via automatic route, but: 

• Indian ownership and control must be ensured for >49%.

• No foreign partner is allowed in the LLP structure. 

Note: To know more about how to file FC-GPR filing in case of FDI ? 

Q3. Who must retain control when FDI is at the upper limit? 

Ans. Indian investors must have: 

• Majority board composition

• Power over policy decisions

• Control over business operations and funds 

Even with 74% equity, foreign investors cannot dominate control.

Q4. Can one investor invest in multiple insurance brokers? 

Ans. Yes, unless IRDAI explicitly restricts or if there's a conflict of interest. Disclosure of all such interests is mandatory.

Q5. Can the promoter use borrowed funds for capital contribution? 

Ans. No. The capital invested must be from: 

• Own funds of promoters or shareholders.

• It must not be leveraged or debt-backed.

Q6. How many sub-user IDs can be created under IRDAI portal? 

Ans. Unlimited sub-user IDs can be generated under the master login ID for operational convenience across departments like legal, compliance, HR, etc.

Q7. Who should digitally sign the IRDAI application? 

Ans. The Principal Officer or authorized signatory must: 

• Possess a valid DSC

• Digitally sign all uploaded forms and declarations

Q8. What are the fees for application and registration?

Ans. 

Payment can be made online or via demand draft.

Q9. What are deposit requirements with banks?

Ans. 

These fixed deposits cannot be withdrawn without IRDAI’s prior written consent.

Q10. What are renewal timelines and penalties?

Ans. 

Q11. What documents are needed for renewal?

Ans. Renewal Form K (Schedule I)

• Updated business and compliance reports

• Financials, net worth certificate

• Proof of professional indemnity insurance

Q12. Can brokers operate after expiry of license? 

Ans. No. Upon expiry of the CoR: 

• They can only serve existing policyholders
  

• Cannot solicit new business or issue policies

Q13. When should PO and BQPs undergo training renewal?

Ans. Before certificate expiry (typically every 3 years)

• Renewal includes both theoretical and practical modules
  

Q14. Where to undergo training for PO and BQP? 

Ans. From IRDAI-approved institutions such as: 

• National Insurance Academy (Pune)

• IIRM (Hyderabad)
  

• Any other IRDAI-authorized centers

Q15. How to check application status? 

Ans. Login to IRDAI BAP Portal → Application Dashboard → Track Status.

Q16. What should be mentioned in broker communications? 

Ans. Every email, website, or printed material must clearly include: 

• IRDAI registration number

• Validity period

• Category (Direct/Reinsurance/Composite)

Q17. Is Professional Indemnity Insurance mandatory? 

Ans. Yes. It must cover: 

• Errors & omissions

• Fraud by employees

• Legal costs

• Document loss/damage 

Coverage must be: 

• 3X brokerage income of previous FY or

• Rs.50 Lakhs, whichever is higher (for direct broker) 

Q18. What is the Importance of Compliance After Obtaining IRDAI License ?

Ans. Securing a license from IRDAI to operate as an insurance company or broker is only the beginning and the real responsibility begins post-registration, where ongoing compliance helps to play a major role in sustaining business operations, building market credibility, and protecting policyholder interests. From maintaining minimum solvency margins, submitting statutory returns, and adhering to code of conduct, to maintaining professional indemnity insurance and timely resolution of client grievances—every aspect is closely monitored by the regulator.

Non-compliance can lead to penalties, suspension, or even cancellation of the license, affecting business continuity and reputation. Therefore, it is necessary for insurance entities to adopt a robust compliance governance, stay updated with evolving IRDAI guidelines, and uphold the highest standards of governance, ethics, and service delivery.

A well-governed insurance business not only fulfills regulatory mandates but also earns the trust of customers, partners, and investors—laying the foundation for long-term success in India’s rapidly growing insurance sector.

That’s where Compliance Calendar LLP (CCL) comes in, with a dedicated team of professionals well-versed in insurance company compliances along with :- 

• Preparing regulatory ROC filings with MCA , Income tax etc and disclosures,

• Maintaining statutory registers, minutes, records and documents as per companies Act 2013,

• Managing audit readiness and inspections,

• Assisting with policyholder grievance procedures,

• To check ongoing compliance obligations under IRDAI regulations. 

Whether you're starting out or scaling operations, We at CCL, can be your trusted compliance partner, helping you stay on the right side of the law while you focus on growth and client service.