Are you planning to enter the booming insurance sector in India? Starting an insurance business as a corporate insurance agent can be a lucrative opportunity. However, before you can start selling insurance products under your company's name, you must obtain a Corporate Agent License from the Insurance Regulatory and Development Authority of India (IRDAI). This guide explains how to get started, what you need, and why it’s a smart move.
Why Become a Corporate Insurance Agent?
The demand for insurance is increasing every year, driven by rising awareness, government schemes, and growing incomes. Becoming a corporate insurance agent enables your company to partner with insurers and distribute their products, such as:
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Life insurance
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Health insurance
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Motor insurance
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General insurance
It allows you to build a recurring revenue stream through commissions and scale your operations nationwide.
What is a Corporate Agent License?
A Corporate Agent License is an authorization granted by the IRDAI (Insurance Regulatory and Development Authority of India) that allows a company to act as an insurance agent on behalf of insurers. Unlike individual agents, a corporate agent can represent multiple lines of business—life, general, or health insurance—subject to certain IRDAI conditions.
Key Benefits of a Corporate Agent License
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Legally distribute insurance products
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Operate on a larger scale than individual agents
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Collaborate with up to three insurers in each category
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Build a trusted brand in the financial services sector
Eligibility for IRDAI Licence for Insurance Agent
To get the IRDAI licence for insurance agent as a corporate entity, your business must meet the following criteria:
Company Structure
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You must register as a company under the Companies Act or be a cooperative society, LLP, or bank.
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Your principal objective must include insurance distribution.
Capital Requirements
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Minimum capital of ₹5 lakhs for non-banking companies
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For banking companies and NBFCs, no separate capital requirement, but they must comply with IRDAI guidelines
Fit and Proper Criteria
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Promoters and directors must pass the "fit and proper" test by IRDAI
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No criminal or regulatory disqualifications
Documents Required for Corporate Agent License
You’ll need to submit the following:
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Certificate of Incorporation
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Memorandum and Articles of Association
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Board Resolution for applying for a license
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Net worth certificate
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Audited financials
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Director KYC and declarations
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Business plan for insurance distribution
Step-by-Step Process to Get a Corporate Agent License
Step 1: Register on IRDAI Portal
Create an account on the IRDAI BAP (Business Applicant Portal) and fill in the license application.
Step 2: Submit Required Documents
Upload all necessary documents including company and promoter details.
Step 3: Pay the Application Fees
IRDAI charges a non-refundable application fee (currently ₹25,000).
Step 4: Verification and Inspection
The authority will examine your submission and may conduct background verification.
Step 5: Grant of License
If all requirements are met, the IRDAI will issue the Corporate Agent License, valid for 3 years.
Compliance After Getting the License
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Renew the license every 3 years
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Submit annual reports to IRDAI
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Maintain proper records of all insurance policies sold
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Appoint a Principal Officer (PO) and ensure their IRDAI certification
Final Thoughts
Starting your insurance business as a corporate insurance agent is a great way to capitalize on India’s growing insurance market. With the right strategy and a valid Corporate Agent License, your company can build trust, earn recurring income, and make a significant impact in financial inclusion. Make sure to comply with the IRDAI licence for insurance agent regulations to build a sustainable and legally compliant business.
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