INSURANCE WEB AGGREGATOR LICENSE
What is an Insurance Web Aggregator?
An insurance web aggregator is a website that folds insurance explicit data from considerable sources and organizes it in one territory. Information heeding insurance policies — prices, coverages, the premium is displayed in detail. A larger network has given rise to the work of dealers easier through its centralized database. The demands for insurance aggregators are on the rise. The insurance aggregators are the improved version of insurance clusters they overcame its two loopholes — lack of control over the business written, and lack of professionalism. Insurance aggregators focus on market access profit sharing and networking with insurance carriers most of them provide insurance agent facilities error and emission insurance coverage agency, management software, specialized group training, and market placement services.
What are the Benefits of Insurance Aggregator?
- Insurance aggregator helps customers to get a comprehensive picture with reliable information from multiple sources.
- Enables you to plan your next move strategically.
- Benefits you to keep your account on track maintaining records of insurance policies, expiration dates, and renewals.
- Insurance Aggregator helps customers at the time of upselling and cross-selling.
- They help us with its reliable information bank, it limits the chances of frauds.
- The umbrella network of clients and carriers will help the customer make a better choice.
What are the limitations of insurance Aggregators?
- The automated system of aggregators will only furnish a quotation for policies but lacks human to the service.
- Cannot provide results for special requests, not expert advice like insurance agencies.
- Thus, carriers will need agents to bring new clients as well as retain the existing ones.
Eligibility Criteria For Insurance Web Aggregator License
For granting or renewing the certificate of registration for an Insurance Web Aggregator License the following to be satisfied-
- A company formed under the companies act 2013, or limited liability partnership formed under the LLP Act 2008.
- The MOA and AOA should be the main objects of the web aggregator business.
- The applicant must not be committed to any additional business different than the web aggregation business.
- The applicant protects its website for insurance web aggregation.
- The principal officer has undergoes the necessary training and passed the examination required by the specified authority.
- Authorized Verifier has gone through the prescribed training and passed the examination conducted by the specified authority.
Procedures for insurance web aggregator license — An Applicant who wants to register as a web aggregator must make an application in Form-A. Along with the application, a fee of Rs.10,000/- plus tax has to be paid through electronic transfer or demand draft payable in service of the Insurance Regulatory and Development Authority of Indian payable at Hyderabad. The applicant would not pressed without the payment of the fee. If the aggregator is also taking off to furnish outsourcing and telemarketing services, the similar gives birth to the referred to in the similar application form. Whether the applicant has fulfilled the eligibility criteria; Whether any key managerial persons are suffering from any disqualification under the Insurance Act 1938. The authority would deal with the application for registration as a web aggregators license. The authority van asks to furnish extra documents for the web aggregators license.
The certificate of registration would be issued when the applicant satisfied the code of conduct laid down by the authority. A new applicant for the certificate of registration can be made only after one year. This would be sufficient in case of the reversal of the certificate, or the authority has rejected to approve of the certificate. Web aggregators should take adequate steps for a reversal of grievances within 14 days.
Conclusion- Considering the cost of joining the aggregator, some insurance aggregators can be huge for new insurance agencies further some even charge you with exit fees and they can also have some non-compete clause. To bridge, the gap of aggregators agents play a vital role in providing the service along with expert advice and the answer to which insurance aggregators might be the best ones for you and it depends on factors like the area of operation, a book of business, location, existing market, your needs, clients and many more. After the complete evaluation of the cluster if you think the advantages outweigh the disadvantages it might be the right decision to join that insurance cluster. Thus insurance aggregators are a disruptive force in the insurance industry. Why not evolve a portion of the winning technique and be on the lid of the rivalry.
