IRDAI issues clarification on transfer of unclaimed amount to Senior Citizens’ Welfare Fund

Feb 07, 2018 | by Avantis RegTech Legal Research Team

Insurance Regulatory & Development Authority of India (IRDAI) vide circular dated February 06, 2018 has issued clarification on accounting procedure to be followed for transfer of unclaimed amount to Senior Citizens’ Welfare Fund. The insurers having unclaimed amounts of policyholders for a period of more than 10 years as on September 30, 2017 were advised to transfer the same to the Senior Citizens’ Welfare Fund (SCWF) on or before March 01, 2018.

Insurers may note that Budget Division, Department of Economic Affairs, MOF has issued accounting procedure for transfer of the funds into the Senior Citizens’ Welfare Fund. In view of the same, the Authority directs the insurers as under:-

(i)      All insurers shall adhere to the accounting procedure for transfer of the funds into the Senior Citizens’ Welfare Fund issued by Department of Economic Affairs;

(ii)    All Insurers having unclaimed amounts of policyholders for a period of more than 10 years as on September 30, 2017 shall transfer the same to Senior Citizens’ Welfare Fund (SCWF) on or before March 01, 2018.

Thereafter, every financial year, the process laid down in the SCWF Rules, 2016 read with the accounting procedure for transfer of the funds into the Senior Citizens’ Welfare Fund shall be followed. The insurers shall make transfers to the consolidated fund of India on or before the 1st March, each year.

This circular shall come into force with immediate effect

[IRDA/F&A/CIR/MlSC/20/02/2018]

 

URL: https://www.irdai.gov.in/ADMINCMS/cms/whatsNew_Layout.aspx?page=PageNo3396&flag=1


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