IRDAI board meet: Indiabulls Integrated may receive preliminary licence for life insurance business

Indiabulls Integrated Services, formerly known as SORIL Holdings and Ventures, is expected to receive its R1 or first level approval for its life insurance business in the Insurance Regulatory and Development Authority (IRDAI) board meet on Friday.

A company is required to receive approvals at three different stages (R1, R2 & R3) before it can start its insurance operations. The life insurance arm under Indiabulls Integrated Services will be a wholly-owned subsidiary which is expected to start business with an initial capital of Rs 100 crore. The parent company is also likely to keep Rs 1,200 crore in the form of reserves for further funding of the life insurance arm.

Tracking the timeline, Indiabulls Integrated Services is likely to receive R2 or second level approval in IRDA’s February board meet and start its business operations will commence by June 2019.