The state-owned Life Insurance Corporation of India, General Insurance Corporation of India and New India Assurance are once again on the list of Domestic Systemically Important Insurers (D-SIIs) for the year 2021-22, according to Insurance regulator Insurance Regulatory and Development Authority of India (IRDAI).

They were in the 2020-21 list of D-SIIs.

What is D-SIIs?
D-SIIs are insurers of such size, market importance, and domestically & globally inter-connected, whose failure or distress will result into significant dislocation in domestic financial system.

D-SIIs are perceived as insurers which are ‘too big or too important to fail’ (TBTF).

This TBTF perception may amplify risk-taking, reduce market discipline, create competitive distortions, and increase the possibility of distress in future.

Hence, D-SIIs must be subjected to additional regulatory measures.

Thus, continued functioning of D-SIIs is necessary for uninterrupted availability of insurance services for national economy.

IRDAI identifies D-SIIs on an annual basis and discloses names of such insurers for public information.

About Insurance Regulatory and Development Authority
• The Insurance Regulatory and Development Authority of India (IRDAI) is a regulatory body under the jurisdiction of Ministry of Finance.

• IRDAI is tasked with regulating and licensing the insurance and re-insurance industries in India.

• The agency's headquarters are in Hyderabad, Telangana, where it moved from Delhi in 2001.

Members of IRDAI

• IRDAI is a 10-member body including the chairman, five full-time and four part-time members appointed by the government of India.