As we all know our future remains uncertain and it is hard to determine what will happen in the future. Many times, disasters hit, people lose lives, and suffer massive damage. In such a critical scenario, insurance plays a pivotal role in making our lives easier by giving us an assurance that most monetary losses are covered under the bought insurance policy. In the case of making any claim, the respective insurance firm sends an insurance surveyor to the policyholder’s premises to take stock of the damage suffered.
Role of Insurance Surveyors and Loss Assessors
The main job of an insurance surveyor and loss assessor is to assess the damage that is caused to the policyholder and help determine the actual compensation amount. This amount should be based on the contract that was initially signed between the insurance firm and the policyholder. Surveyors and loss Assessors are selected by insurance firms in India to ascertain the amount of real loss in various situations that are beyond the control of the parties.
Insurance Surveyors and Loss Assessors generally play the role of a mediator between the insurance firm and the policyholder. In other words, a surveyor in the insurance domain helps expedite the process of claim and submission of the compensation to the policyholder against the caused damage. Indirectly they help in quickening the claim process related to the loss caused to the insured. A person or a business needs to obtain an Insurance Surveyor and Loss Assessors Licence looking to work an Insurance Surveyor and Loss Assessor.
How to apply for an Insurance Surveyors and Loss Assessors Licence?
As per the guidelines stated by the Insurance Regulatory and Development Authority of India (IRDAI), one needs to fulfill several qualifications to obtain the Insurance Surveyors and Loss Assessors Licence. According to the regulations, both people and businesses can apply for becoming an Insurance Surveyor and Loss Assessor.
In the case of an individual, some specific requirements need to be fulfilled. First and foremost, the person should be a member of the IRDAI to obtain a valid license. A student member can be defined as a person enrolling as a trainee to get the license. A fellow member refers to a person having a membership for 8 years, and an associate member means a person with a membership for 16 years. A company can also choose to become an insurance surveyor and loss assessor.
Who Regulates Insurance Surveyors and Loss Assessors Licence
The Insurance Regulatory and Development Authority of India (IRDAI) is the main regulatory authority for the Insurance Surveyors and Loss Assessors Licence. A set of regulations regarding this license is defined under the Insurance Act 1938 and the Insurance Regulatory and Development Act 1999. Besides, the Insurance Regulatory and Development Authority of India (Insurance Surveyors and Loss Assessors) Regulations, 2015 has laid out the rules pertaining to Insurance Surveyors and Loss Assessors.
Eligibility Criteria for Insurance Surveyors and Loss Assessors Licence
The Government and the IRDAI have clearly defined particular specifications in regard to the Insurance Surveyors and Loss Assessors Licence.
Both individuals and businesses registered under the Companies Act 2013 can apply for this license. A partnership firm registered under the Limited Liability Partnership Act 2008 can also become an applicant.
Individuals
Enroll as a Student Member with the authority.
Qualifications- It essentially depends on the chosen type of insurance coverage.
1) Fire Insurance- Bachelor of Engineering, B.TECh, CA, ICWAI, and Post Graduate Diploma in Insurance.
2) Marine and Cargo Insurance- Parallel qualifications of fire insurance (Without CA and ICWAI). Along with a Shipping Degree or Master’s Degree Certificate in Shipping or Naval Engineering or Naval Architecture.
3) Marine and Hull Insurance- Parallel qualifications to Marine and Cargo Insurance.
4) Engine Insurance- Bachelor of Engineering, B.TECh, A.I.M.I.E., or its equivalent.
5) Motor Insurance- B.E./ B.Tech./ B.Sc. (Engg.)/ A.I.M.I.E. or its equivalent, Mechanical Engineering or Automobile Engineering.
6) Other Insurance- Qualifications mainly relies on on the expertise area and subject matter of the insurance.
7) Loss of Profits Insurance (LOP) – CA, ICWAI, A.I.I.I. / F.I.I.I.
8) Crop Insurance- B. Sc. in Agricultural Science from a recognized University.
- The person needs to be a member of the IRDAI authority.
- Training and requirements must not be less than 12 months according to the authority
- Examination- The person needs to clear the examination performed by the IRDAI. The exam is carried out by the Insurance Institute of Mumbai or any other organization registered by the authority.
- Charges Defined By The Authority
Businesses
- The Directors or partners of the company or the business need to fulfill the eligibility criteria, for an Insurance Surveyors and Loss Assessors Licence.
- Besides, the directors and partners of the business must not be disqualified under any applicable law.
- Two Directors or Partners should be the members of the Institute and are authorized to work as Surveyor and Loss Assessor. If the director or partner of the company or business possesses the membership, it should be with the company or firm.
- The director or the partner would make an application to get the license for the surveyor and loss assessor.
- The primary responsibility of the businesses should be Insurance Surveyors and Loss Assessment.
- The business name must contain the terms “Insurance Surveyor and Loss Assessors.”
The government will ascertain foreign equity shares in the insurance firm at different periods. - The business promoter or subscriber must not have more than one corporate surveyor license.
- A unit connected with the applicant should not be declined an Insurance Surveyors and Loss Assessors Licence.
Procedure To Apply For An Insurance Surveyors and Loss Assessors Licence
For individuals
- The person should apply to the authority for a grant of licence using the FORM–IRDAI-1- AF.
- The applicant must deposit the applicable fees of Rs. 1000/- as suggested by the authority.
- The payment can be done online through the following modes: net banking / RTGS/ NEFT/ Demand Draft in favor of IRDAI.
- The application must abide by the guidelines stated by the authority.
- The authority can ask for more details from the application if it thinks that the provided information is not sufficient to process the application.
- The applicant may also need to appear before the authority.
Application Consideration for an Individual Applicant
- Before approving an application for an Insurance Surveyors and Loss Assessors Licence, the corresponding will take into account all the underlying responsibilities handled by insurance surveyors and loss assessors.
- The person should not be convicted under any applicable Indian law.
- The applicant’s licence application should not have been declined the previous year in regard to the same license.
- The applicant must be backed by all the necessary qualifications and practical knowledge as required by the authority.
Grant of Licence
- After verifying the information and ascertaining that the application meets the eligibility criteria, the authority will grant the license under FORM-IRDAI-2-LF.
- While awarding the membership to the applicant, the authority will also define the membership level of the applicant and the Institute that has given the membership. The authority would also define the subject or department in which membership is awarded.
Application Procedure for Company or Partnership (Corporate Surveyor)
- An applicant needs to make an application through Form IRDAI-3-AF to get the licence of the corporate surveyor.
- The applicant is supposed to deposit an amount of Rs. 1000/- against the applicable charges.
- The amount can be deposited through various modes: net banking / RTGS/ NEFT/ Demand Draft in favor of IRDAI.
- The application must follow to the requirements stated by the authority.
- The authority may ask the applicant to provide more details if it seems that the given information is not enough.
- The applicant may need to appear in person before the authority.
Application Consideration for Company/ Partnership Firm
- Before considering the application, the authority will consider all the duties and responsibilities carried out by an Insurance Surveyor and Loss Assessor.
- The corporate surveyor must satisfy the requirements of being Fit and Proper as per the requirements of the authority.
- The applicant must not be disqualified under any law in force.
- The applicant must not have been refused a license in the past year.
- To get an Insurance Surveyors and Loss Assessors Licence from the authority, the eligibility criteria need to be fulfilled.
Grant of Licence
- The authority on being satisfied that the application conforms with the requirements will grant the licence under FORM-IRDAI-4-LF.
Conditions related to the License (Corporate Surveyor)
- Survey and Loss Assessment jobs can only be conducted at a departmental level. This must be according to the membership of the directors and partners of the firm or company.
- Another corporate surveyor cannot appoint the key executives ( directors and partners).
- An individual surveyor and loss assessor working as an employee in a company would only take responsibility for conducting insurance surveys and loss assessments for the company. The individual surveyor must act according to the membership.
- Surveys that are done by the company or the firm must be equal to the resources of the firm and the number of individual surveyors employed by the company.
- The Insurance Surveyor and Loss Assessor must maintain electronic records of claim-wise details conducted by the firm. The corporate surveyor must have systems in place to ensure that the authority has access to such information and records.
Documentation For Corporate & Individual Insurance Surveyors and Loss Assessors Licence.
| Documents for Corporate | Documents for Individual |
| Duly filled Application in Form-IRDAI-3-AF. | Application in Form-IRDAI-1AF duly completed. |
| Copy of Membership certificate issued by the Institute to the directors/ partners, indicating Membership No and Date of Issue. | Copy of Membership certificate allotted by the Institute, signifying Student Membership No and Date of Issue of the Membership. |
| One latest photo of the directors/ partners. | Recent Passport-sized Photo. |
| Copy of Surveyor and Loss Assessor license of directors/ partners. | Copy of PAN Card. |
| Copy of certificate of incorporation issued by Registrar of Companies in case of company. | Address Proof. |
| Copy of Partnership deed in the case of a partnership firm. | Proof of Education (notarized). |
| Copy of Memorandum and Articles of association of the company. | Training completion certificate (original). |
| Copy of Form no DIR-12 & INC-22/23 filed with Registrar of Companies. | Copy of quarterly reports (of the last four quarters). |
| It is incumbent upon each surveyor to certify that they have successfully completed all survey assignments. The individual surveyor is not allowed to conduct individual insurance surveys once the corporation has appointed them. | Copy of marks sheet indicating the clearance of the Surveyor and Loss Assessor examination. |
| Copy of Form no 20B/Form SH7, as the case may be, filed with Registrar of Companies. | No Objection Certificate (NOC) from employer, if employed (in original). |
| Copy of TAN(Tax Deduction and Collection Account Number). | Affidavit for the FORM- IRDAI-1-AF |
| Proof of qualification of directors/partners. | Self-addressed envelope of 4.5″x10″ with a minimum of Rs.40 postage stamp. |
| Copy of PAN No and Address Proof of directors/ partners. | Demand draft, if the chosen payment option is DD. |
| Affidavit in association with the FORM-IRDAI-3-AF including whether any person, directly or indirectly is related to the applicant, has been rejected the license earlier. | Fee payment details by RTGS/ NEFT, if payment is done through RTGS/ NEFT. |
| Detailed statement made by the directors/ partners. | Any other important paper/information that may be needed by the authority at different times |
| Self-addressed envelope of 4.5″x10″ with a minimum of Rs.40 postage stamp. | A statement has to be filed by the individual applicant that in the case of any change, the same will be notified to the authority within 15 days. This declaration must be made using the FORM-IRDAI-17-AF. |
| Demand draft, if the chosen payment option is Demand Draft (DD). | |
| Fee payment details by RTGS/NEFT, if the option is chosen | |
| In the event that any of the directors or partners pass away, a declaration must be filed by them. Notifying the authorities of any deviation from the pattern is also necessary. Any significant modifications must be noted on FORM-IRDAI-18-AF. The authorities must be notified of such modifications within 15 days. |
Important Documentation For The Renewal of Corporate and Individual Insurance Surveyors and Loss Assessors Licence
| Documents for Corporate | Documents for Individual |
| Application in Form- IRDAI-6-AF duly completed in all respects. | Duly Filled Application in Form-IRDAI-5-AF. |
| One recent photo of directors/partners. | Latest Photographs. |
| Copy of Surveyor and Loss Assessor license of directors/ partners and their Membership details. | Copy of PAN Card. |
| Copy of Certificate of Incorporation issued by Registrar of Companies in case of company. | Address Proof. |
| Copy of Partnership Deed in case of a firm duly signed by all the partners. | Proof of qualification (notarized). |
| Copy of Memorandum and Articles of Association of the company. | No Objection Certificate (NOC) from employer, if employed (in original). |
| Copy of Form no DIR-12 filed with Registrar of Companies. | Work performance in Form- IRDAI-12 (to be uploaded in soft form for the previous three financial years). |
| Copy of Form no INC-22/23 filed with Registrar of Companies. | Affidavit of FORM-IRDAI-5-AF. |
| Copy of Form 20B/ Form SH7, as the case may be, filed with Registrar of Companies. | Copy of Membership Certificate issued by the Institute. |
| Copy of TAN (Tax Deduction and Collection Account Number). | Self-addressed envelope of 4.5″x10″ with a minimum of Rs.40 postage stamp. |
| Proof of qualification of directors/partners. | Demand draft, in case fee, is paid by DD. |
| Copy of PAN Card and Address Proof of directors/ partners. | Details of fee payment by RTGS/ NEFT, if paid through RTGS/ NEFT. |
| Affidavit of FORM-IRDAI-6-AF. | Any other necessary paper/information that may be required by the authority from time to time. |
| Self-addressed envelope of 4.5″x10″ with a minimum of Rs.40 postage stamp. | |
| Work Performance of the company /firm (to be uploaded in soft form for the previous three financial years) (as per Form – IRDAI – 12). | |
| Demand Draft, if the payment option is DD. | |
| Fee payment details by RTGS/NEFT, if payment is done through RTGS/NEFT. | |
| Any other information that may be needed by the authority at various states. |
Validity & Renewal for Certificate of Registration for Insurance Surveyors and Loss Assessors Licence
- The validity period of an Insurance surveyor and loss assessor’s license is 3 years for people and businesses.
- The license renewal application for both individual and corporate Insurance surveyors and loss assessors’ licenses in India can be made online.
- The renewal of the certificate should be done 30 days before its expiry date.
- For Individuals- FORM-IRDAI-5-AF.
- For Corporates- FORM-IRDAI-6-AF.
- A payment of Rs. 100/- needs to be made as a renewal charge to the authority.
- After 6 months of application expiry, the authority can take the application from the applicant if there are unwarranted hurdles and causes that are not under the control of the applicant.
- If the application fulfills the stated criteria, the authority will renew the insurance surveyors and loss assessors’ license.
The Conclusion
To become an insurance surveyor and loss assessor, you need to follow the aforementioned procedure carefully and make an application for the issuance or renewal of a license for surveyors and loss assessors in insurance. After fulfilling the criteria to become an insurance surveyor and loss assessor, the applicant needs to register for training from IRDAI. The period of this training is one year which is done under a senior surveyor and take part in an examination.
This examination is done online with one compulsory subject. A person can pick two other subjects given the individual’s qualifications. A minimum of 60% marks is required to clear every subject. However, one can take part in all the subjects at his or her own convenience. For more details, contact us today.