Introduction of the Firm IMF

An Insurance Marketing Firm (IMF) is an entity that is authorised to market, distribute, and promote insurance products in India.
These firms act as intermediaries between insurance companies and customers by explaining insurance products and assisting in policy purchase.
Insurance Marketing Firms operate under the regulatory supervision of the Insurance Regulatory and Development Authority of India (IRDAI).

To start working as an Insurance Marketing Firm (IMF) in India, registration with IRDAI (Insurance Regulatory and Development Authority of India) is mandatory. The process involves two main stages:

  1. Obtaining a No Objection Certificate (NOC)

  2. Applying for IMF registration

1. No Objection Certificate (NOC) from IRDAI

Before incorporating the company, the applicant must obtain a No Objection Certificate (NOC) from IRDAI.

What is an NOC?

  1. An NOC is a permission issued by IRDAI to the applicant.
  2. It allows the applicant to register the company name with the Registrar of Companies (ROC).
  3. The proposed company name must include the words “Insurance Marketing” or “IMF”.

Validity of NOC

  1. The NOC is valid for 6 months from the date of issue.
  2. Within this period, the applicant must complete company incorporation.

How to Apply for NOC?

  1. The application for NOC or IMF registration can be submitted by email to
    imf@irdai.gov.in or thorough the specific website

2. Application Procedure for IMF Registration

After incorporation of the company with ROC, the applicant must apply for IMF registration within one year.

Step 1: Register on IMF Portal

  1. The applicant must first register on the IMF online portal provided by IRDAI.

Step 2: Submit Application for IMF Registration

The application must be submitted along with the following documents and requirements

Documents & Requirements for IMF Registration

Form A: Fill in all required details and upload relevant documents.

Application Fee: Pay a non-refundable fee of ₹5,000, which must be paid from the IMF’s bank account.

Fit & Proper Declaration: Declaration from the Principal Officer / Directors / Managing Partners confirming they meet IRDAI’s “Fit & Proper” criteria.

IMF Exam Pass Certificate:  Copy of the Insurance Marketing Firm examination pass certificate of:

  1. Principal Officer (PO)
  2.  Insurance Sales Persons (ISPs) proposed to be engaged

Qualification & Experience Certificates of Principal Officer: Copies of educational qualification and experience documents.

Qualification & Address Proof of ISPs: Copies of:

  1. Qualification certificates
  2. Address proof within the same state where the IMF is registered

Undertaking by Principal Officer: An undertaking in IRDAI’s prescribed format confirming compliance with IMF Regulations.

Net Worth Certificate: Certificate issued by a Chartered Accountant confirming that the IMF meets the minimum net worth requirement as prescribed under IRDAI (Registration of Insurance Marketing Firms) Regulations, 2015 and its amendments.

Bank Account Statement: Bank statement of the IMF supporting the net worth certificate.

Charter Documents: MOA & AOA (for a company), or LLP Agreement (for an LLP)

Three-Year Business Plan: A detailed business plan showing:

  1. Proposed activities
  2. Expected income
  3. Growth strategy

Organization Chart: Chart showing roles, responsibilities, and reporting structure.

Infrastructure Details: Information about:

  1. Office space (Rent Agreement or Sale Deed)
  2. Equipment
  3. Manpower
  4. Supporting photographs

Consent Letter from Insurance Companies: At least one consent letter from an insurance company the IMF plans to work with is mandatory.

Registration of an Insurance Marketing Firm (IMF)

To operate as an Insurance Marketing Firm in India, an applicant must apply for registration with the Insurance Regulatory and Development Authority of India (IRDAI) through the official IRDAI portal and follow the prescribed procedure.

Application for Registration

  1. Any entity seeking registration as an Insurance Marketing Firm must submit an application to IRDAI in the prescribed format. Along with the application, a non-refundable application fee of ₹5,000 is required to be paid.
  2. The applicant must submit all supporting documents specified in the application form, along with a declaration from the Principal Officer, directors, or managing partners confirming that they satisfy the prescribed fit and proper criteria. The declaration must be submitted in the format prescribed by IRDAI.
  3. A copy of the Insurance Marketing Firm examination pass certificate of the Principal Officer and the Insurance Sales Persons (ISPs) proposed to be engaged must also be provided.
  4. If the firm intends to act as an approved person of an Insurance Repository, a copy of the approval certificate issued by the Insurance Repository must be submitted.
  5. Where the firm proposes to employ Financial Service Executives for activities regulated by other authorities, copies of the relevant licenses or authorizations issued by regulators such as SEBI, RBI, PFRDA, or the Post Office must be furnished, depending on the nature of the activities undertaken.
  6. The applicant is also required to submit an undertaking confirming that telemarketers will not be engaged for insurance solicitation or lead generation.
  7. If the application is found to be incomplete or not in conformity with the prescribed requirements or instructions, IRDAI may reject the application. However, before rejecting it, the applicant is generally provided an opportunity to rectify deficiencies and complete the application.

Consideration of Application by IRDAI

  1. While examining an application for registration, IRDAI considers all factors relevant to the proper functioning of an Insurance Marketing Firm.
  2. In particular, IRDAI evaluates whether any director, partner, principal officer, key employee, or person in management suffers from any statutory disqualification under insurance laws. It also examines whether any person directly or indirectly connected with the applicant has previously been refused a license or registration by IRDAI. For this purpose, group companies, associates, and subsidiaries are also taken into account.
  3. IRDAI further verifies whether the applicant meets the prescribed capital adequacy requirements, whether the Principal Officer and ISPs satisfy the required eligibility and training standards, and whether the firm has adequate infrastructure such as office space, equipment, and trained manpower.
  4. The applicant’s name must include the words “Insurance Marketing” or “IMF”. If the applicant is engaged in activities other than insurance marketing, IRDAI checks whether necessary approvals or authorisations from the relevant authorities have been obtained.
  5. Ultimately, IRDAI considers whether granting registration would be in the interest of policyholders and other clients.

Capital Requirements for an Insurance Marketing Firm

Minimum Net Worth

The applicant must meet the following minimum net worth requirements:

  1. A net worth of at least ₹5 lakh if the applicant proposes to operate in only one district, and that district is classified as an aspirational district.

Note: If the district later ceases to be classified as an aspirational district, the applicant must increase its net worth to the applicable level at the time of renewal of registration.

  1. A net worth of at least ₹10 lakh in all other cases.

Explanation: For the purpose of these regulations, the term “net worth” shall have the same meaning as defined under the Companies Act, 2013, as amended from time to time.

Maintenance of Net Worth

The applicant must ensure that the prescribed net worth is maintained at all times. The Insurance Marketing Firm shall submit an annual certificate, certified by a Chartered Accountant, confirming compliance with the net worth requirement. This certificate must be submitted within three months from the end of each financial year.

Foreign Investment Limits

  1. The total equity shareholding or capital contribution in the Insurance Marketing Firm by foreign investors, including portfolio investors, shall not exceed the limits prescribed by the Central Government from time to time under the Indian Insurance Companies (Foreign Investment) Rules, 2015.
  2. For the purpose of these regulations, the calculation of foreign investment shall be carried out in the same manner as specified under the IRDAI (Registration of Indian Insurance Companies) Regulations, 2000, as amended from time to time.

Principal Officer of an Insurance Marketing Firm

  1. Every Insurance Marketing Firm is required to appoint a Principal Officer who acts as the overall in-charge of the firm and is responsible for regulatory compliance with IRDAI.
  2. The Principal Officer must meet the prescribed eligibility, training, examination, and fit and proper criteria laid down under the regulations.
  3. In the event of resignation, termination, or death of the Principal Officer, the firm is required to appoint a replacement at the earliest and seek approval from IRDAI within the prescribed time period. During the interim period, a senior official such as a whole-time director or managing partner may be authorized to handle compliance-related functions, provided that such person does not solicit insurance business unless all eligibility and examination requirements are met.

Certification Requirements for ISP and FSE of an Insurance Marketing Firm

  1. The Insurance Regulatory and Development Authority of India prescribes specific certification requirements for individuals engaged in marketing insurance and other financial products through an Insurance Marketing Firm.
  2. Insurance Sales Persons and Financial Service Executives are required to meet the certification standards laid down for the respective categories of products they are authorised to market. These requirements ensure that individuals involved in solicitation and distribution possess adequate knowledge, competence, and regulatory understanding.
  3. The qualifications and eligibility criteria applicable to Insurance Sales Persons are clearly defined and must be satisfied before engagement by the Insurance Marketing Firm. In addition to educational eligibility, individuals must also meet age, training, and conduct-related requirements.
  4. The process for training, examination, and certification of Insurance Sales Persons is prescribed to ensure uniformity and professional standards. Only individuals who successfully complete the prescribed training and pass the relevant examination are eligible to be certified and engaged.
  5. For Financial Service Executives involved in marketing non-insurance financial products, separate eligibility and authorisation requirements apply. Such individuals must possess valid licenses or approvals from the respective sectoral regulators governing the financial products proposed to be distributed.
  6. A detailed Code of Conduct applies to both Insurance Sales Persons and Financial Service Executives. Compliance with this Code is mandatory and is intended to promote ethical conduct, transparency, customer protection, and professional behaviour.
  7. An Insurance Marketing Firm is permitted to engage the same individual for the sale of insurance products as well as other financial products, provided that the individual independently satisfies the qualification, certification, and regulatory requirements applicable to each category of activity.

Professional Indemnity Insurance Requirement

Mandatory Insurance Cover

Every Insurance Marketing Firm must obtain and maintain a Professional Indemnity Insurance (PII) policy at all times during the validity of its registration granted by the Authority.

Exception: In appropriate cases, the Authority may allow a newly registered Insurance Marketing Firm to submit the Professional Indemnity Insurance policy within twelve months from the date of initial registration. In such cases, the minimum sum insured must be ₹10 lakh.

Limit of Indemnity

The limit of indemnity under the Professional Indemnity Insurance policy shall be two times the total remuneration earned by the Insurance Marketing Firm during the preceding financial year, subject to a minimum amount equal to the applicable net worth requirement.

For the purpose of this requirement, total remuneration includes income earned from:

  1. Insurance solicitation and procurement activities,
  2. Insurance servicing activities, and
  3. Marketing of other financial products, as permitted under these regulations.

Grant of Registration to an Insurance Marketing Firm

  1. Where the Authority is satisfied that the applicant complies with all applicable requirements relating to eligibility, capital adequacy, professional indemnity insurance, infrastructure, personnel, and regulatory compliance, registration is granted in the prescribed format.
  2. An Insurance Marketing Firm registered for specific categories of activities may subsequently apply for the addition or deletion of permitted activities, subject to compliance with the applicable requirements for such modification.

Conditions Attached to Registration

  1. Registration as an Insurance Marketing Firm is subject to compliance with several ongoing conditions.
  2. The firm is permitted to solicit and procure insurance products strictly in accordance with the scope permitted under the regulations. It must comply with the provisions of the Insurance Act, the IRDAI Act, and all regulations, circulars, guidelines, and directions issued by the Authority from time to time.
  3. The firm is required to promptly inform the Authority in writing if any information previously submitted is found to be false or misleading or if there is any material change in the information already provided.
  4. Adequate grievance redressal mechanisms must be maintained, and client complaints must be resolved within 15 days. The firm must also periodically report complaint-related information to the Authority in the prescribed manner.
  5. The firm is expected to solicit a reasonable volume of insurance business commensurate with its size and manpower. Multi-level marketing activities are strictly prohibited.
  6. Compliance with the applicable Code of Conduct for Insurance Sales Persons and adherence to standards governing insurance service activities is mandatory. Additionally, the firm must ensure compliance with requirements prescribed by other statutory or regulatory authorities where applicable.

Validity, Suspension, and Cancellation of Registration

Validity of Registration

The registration granted under these regulations shall remain valid for a period of three years from the date of issue, unless it is suspended, cancelled, or voluntarily surrendered by the Insurance Marketing Firm, as approved by the Authority.

Suspension or Cancellation

The Authority may suspend or cancel the registration of an Insurance Marketing Firm for any of the reasons specified in Schedule VIII of these regulations.

Effect of Suspension, Cancellation, or Surrender

If the registration of an Insurance Marketing Firm is suspended or cancelled, or if the Authority accepts the surrender of registration, the firm shall:

  1. Immediately stop soliciting new insurance business, and
  2. Continue to service existing insurance policies for a period of six months.

During this six-month period, the Insurance Marketing Firm must make suitable arrangements, with the approval of the Authority, to ensure that the servicing of existing contracts is taken over by:

  1. The respective insurers, or
  2. Any other approved intermediary.

Expiry of Registration

An Insurance Marketing Firm shall not carry on business after the expiry of its registration unless the registration is renewed by the Authority.

The firm shall also ensure that it does not engage any person for carrying out its functions unless such person holds a valid registration, wherever applicable.

Rejection of Application and Right to Appeal

  1. Where an application does not satisfy the prescribed eligibility or compliance requirements, the Authority may refuse to grant registration. However, no application is rejected without providing the applicant a reasonable opportunity of being heard.
  2. Any refusal is communicated in writing, along with the reasons for rejection. An aggrieved applicant has the right to appeal against such refusal before the appropriate appellate authority.
  3. If the application is rejected and no appeal is filed, or if the appeal is unsuccessful, the applicant may submit a fresh application after the prescribed cooling-off period. Such fresh applications are considered by the Authority on their merits.

General Eligibility Conditions

An applicant applying for registration will be considered eligible if all of the following conditions are met:

  1. The applicant must not be subject to any disqualification mentioned under Act, as amended from time to time.
  2. The applicant’s Principal Officer must have completed the required training and successfully passed the examination prescribed by the Authority.
  3. The Principal Officer must have complied with all duties and responsibilities specified by the Authority and must not have violated any such requirements.
  4. The applicant must comply with all applicable laws, rules, and regulations, including but not limited to:
  1. The Act (as amended from time to time), the IRDA Act, 1999, and all rules, regulations, circulars, and guidelines issued by IRDAI from time to time;
  2. The Securities and Exchange Board of India (Investment Advisers) Regulations, 2013;
  3. The Securities and Exchange Board of India (Certification of Associated Persons in Securities Markets) Regulations, 2007;
  4. Any other regulations or guidelines issued by relevant regulatory, statutory, or government authorities, as applicable.

Documents Required for Fresh Registration of an Insurance Marketing Firm

A. Submission of Application

The applicant must submit a duly completed application along with the following documents:

  1. All relevant details and information as required.
  2. Payment of the prescribed application fee through a demand draft payable at Hyderabad, in accordance with Regulation 4 of the IRDAI (Registration of Insurance Marketing Firm) Regulations, 2015.
  3. Copies of the applicant’s constitutional documents, such as the Memorandum and Articles of Association or Byelaws, as applicable.
  4. Separate Fit and Proper declarations from the Principal Officer, Directors, and Managing Partners, submitted in the prescribed Fit and Proper Form.
  5. Details of the firm’s infrastructure, along with supporting documents such as ownership or lease agreements, covering office premises, equipment, and trained manpower for the registered office and branch offices.
  6. Financial projections for the next three years, including estimated administrative expenses, salaries and wages, revenue account, profit and loss account, and balance sheet.
  7. An organizational structure chart clearly showing various functional areas such as IT, risk assessment, claims handling, marketing, accounts, and back-office operations.
  8. Any additional information relevant to the nature of services proposed and their contribution to the growth and development of the insurance business.
  9. Any other documents or information as may be required by the Authority from time to time.

B. Signatories

The application form and all related documents must be signed by two Directors of the company.

The list of documents mentioned above is indicative and not exhaustive. Additional documents may be required depending on factors such as shareholding pattern or other requirements under the IRDAI (Registration of Insurance Marketing Firm) Regulations, 2015.

C. Personal Presentation

After reviewing the submitted documents and if found satisfactory, the Authority may require the applicant to appear in person to present their business plan in support of the application.

Documents Required for Renewal of Insurance Marketing Firm Registration

A. Submission of Application

For renewal of registration, the applicant must submit a duly completed application along with the following documents:

  1. All relevant information as required in Form D.
  2. Payment of the prescribed renewal fee through a demand draft payable at Hyderabad, in accordance with Regulation 14 of the IRDAI (Registration of Insurance Marketing Firm) Regulations, 2015.
  3. Separate Fit and Proper declarations from the Principal Officer, Directors, and Managing Partners, submitted in the prescribed Fit and Proper Form.
  4. Details of the firm’s infrastructure, supported by documents such as ownership or lease agreements, covering office premises, equipment, and trained manpower for both existing and proposed areas of operation.
  5. A copy of the renewal training certificate confirming completion of 25 hours of training by the Principal Officer.
  6. Copies of the Professional Indemnity Insurance policies held during the last three years.
  7. Copies of the firm’s annual reports for the previous three years.
  8. Any additional information relevant to the nature of services provided and their role in the growth and promotion of the insurance business.
  9. Any other documents or information as may be required by the Authority from time to time.

B. Signatories

  1. The application form and all supporting documents must be signed by two Directors and the Principal Officer.
  2. The list of documents mentioned above is indicative and not exhaustive. Additional documents may be required depending on the shareholding pattern, regulatory requirements under the IRDAI (Registration of Insurance Marketing Firm) Regulations, 2015, or the views of the Authority.