Section 19 in Insurance Regulatory and Development Authority of India (Registration of Corporate Agents) Regulations, 2015
19. Requirement of Professional Indemnity Insurance Policy.
(1)Every corporate agent, where the revenues from their insurance intermediation activities is more than fifty per cent of their total revenue from all the activities, shall take out and maintain at all times a professional indemnity insurance cover throughout the validity of the period of the registration granted to it by the Authority.Provided that the Authority shall in suitable cases allow a newly registered corporate agent to produce such a . policy within twelve months from the date of issue of original registration.(2)The limit of indemnity shall be two times the total annual remuneration of the corporate agent derived from their insurance intermediation activities in a year subject to a minimum of Rupees fifteen lakh and a maximum of Rupees one hundred crore.(3)The scope of cover and other terms and conditions of the Professional Indemnity Policy is specified in Schedule II of these regulations.
