IRDAI

The Insurance Regulatory and Development Authority of India, the regulator of insurers and insurance intermediaries since 2000. It licenses insurers, sets the solvency margin they must hold, limits what they may spend on commissions and other expenses, approves products and regulates how policies are sold.

Its rules shape the numbers an analyst reads. The required solvency ratio of 150% is the capital floor that decides how fast an insurer can grow without raising money. Limits on expenses of management bound the insurer's expense ratio. Changes to surrender value rules or commission caps move life insurers' margins and product mix within a year.

Its circulars are primary sources, and a rule announced today usually shows up in the value of new business margin two or three quarters later.

Read the circular before the margin.