New Delhi: Insurance regulator Irda has assessed the impact of the beleaguered insurer American International Group (AIG) on the Indian insurance sector and said it has no immediate concerns, the Finance Ministry informed the Lok Sabha today.
“In view of the present comfortable solvency position and the assurance of continued availability of future capital contribution by the JV partner (AIG), Irda has no immediate regulatory concerns,” Minister of State for Finance P K Bansal said in a written reply.
The Insurance Regulatory and Development Authority (Irda) has reported that it has assessed the impact of the AIG debacle on the Indian insurance sector. AIG has two joint ventures in India -- Tata AIG Life Insurance and Tata AIG General Insurance.
“The performance of the two JVs between Tata Sons and AIG (74:26) has exceeded the projection made by the two entities at the time of registration in the year 2001,” Bansal said.
The minister said the solvency positions of the life insurance and general insurance ventures were comfortably above what was required.