1.Description:- This
is a supplement to our Circular No. IRDA/ACTL/FUP/VER2.0/Dec2001 Dated
12th December 2001. The amendments to this circular shall be effective
from 01.12.2002.
2.
Amendments :-
(a)
Item 14 of General Instructions shall be replaced by-
"All the communications regarding 'File & Use' must be addressed
to the Executive Director (Actuarial), Insurance Regulatory and Development
Authority, Parishrama Bhavanam,III floor, 5-9-58/B, Fateh Maidan Road,Baseerbagh
Hyderabad-500004. Phone No. 040-6820963(Direct), 6820964(EPABX), 6823334(Fax),
e-mail-ksmanyam@irdaonline.org.
(b) Item
12 of General Instructions- The following text shall be inserted
as 2nd
para-
"The Premium Table and Premium Calculator shall be sent in a floppy
along with Hard Copy so that the premium rates, rebates etc. shall be
determined according to age and other parameters of the product.
(c) Item 15- Results of financial projections-The following text shall
be inserted at the end of item 15 ( c) -
Explanation (I)- Profit
Margin for the purpose of this section shall be -
Present value of net cash flows divided by present value of future
premiums.
Explanation (II)- The
assumptions for calculating reserve under the product shall be furnished
along with the bases for profit test calculations.
N.RANGACHARY
CHAIRMAN