IRDAI: Policy Tagging and Sales Rules Update

IRDAI has directed that from January 2027, every insurance policy document must explicitly name the authorised seller or intermediary who procured it. This applies across all standard life and general insurance products sold in the Indian market.

The regulator is pushing this change to increase transparency, make accountability easier, and directly curb mis-selling by ensuring the actual point-of-sale person is clearly recorded on the contract.

For you as an advisor, broker, or POSP, this means your name and authorisation details will become a permanent, visible part of the policy record. Insurers will need to update their policy wordings, issuance systems, and document templates to comply before the deadline.

If you operate through multiple channels or sub-brokers, you must verify that your authorisation status is accurately reflected in your insurer's records. Any mismatch between your licence and the name printed on the policy could expose you and your firm to compliance risk and client disputes.

Since the source reports are based on media coverage and official circular numbers are not yet cited, you should await formal communication from your insurer regarding system changes and document formats. In the meantime, ensure your KYC and intermediary records with insurers are fully updated so that the correct seller name can be tagged without delay.