IRDAI repeals 2020 guidelines on repatriation of dividends by foreign-majority insurance intermediaries; prior approval requirement already removed
IRDAI has repealed its Guidelines on repatriation of dividends by insurance intermediaries having majority by foreign investors, dated 3 January 2020, with effect from 30 July 2026. The Insurance Intermediaries (Amendment) Regulations, 2026 notified on that date removed the requirement of the Authority’s prior approval for repatriating dividends and the condition on related party payments.
Key facts
In 30 seconds
- Circular No. IRDAI/INT/CIR/MISC/122/9/2026 is dated 22 September 2026 and is addressed to all insurance intermediaries.
- The repealed guidelines are Ref. No. IRDAI/INT/GDL/MISC/004/01/2020 dated 3 January 2020.
- The repeal takes effect from 30 July 2026 — the date the IRDAI (Insurance Intermediaries) (Amendment) Regulations, 2026 were notified.
- Those Amendment Regulations removed the requirement of prior approval of the Authority for repatriation of dividends, and the condition on related party payments.
हिंदी में सार
IRDAI ने 22 सितंबर 2026 के परिपत्र से विदेशी बहुमत वाले बीमा मध्यस्थों द्वारा लाभांश बाहर भेजने संबंधी 3 जनवरी 2020 के दिशानिर्देश 30 जुलाई 2026 से निरस्त कर दिए हैं। कारण यह है कि 30 जुलाई 2026 को अधिसूचित IRDAI (Insurance Intermediaries) (Amendment) Regulations, 2026 ने लाभांश भेजने के लिए प्राधिकरण की पूर्व-मंज़ूरी और related party payments की शर्त हटा दी थी।
Before and now
Governed by IRDAI’s guidelines of 3 January 2020; prior approval of the Authority was required for repatriation of dividends.
Prior-approval requirement removed by the Amendment Regulations, 2026; the 2020 guidelines stand repealed from 30 July 2026.
What IRDAI has done
By Circular No. IRDAI/INT/CIR/MISC/122/9/2026 dated 22 September 2026, addressed to all insurance intermediaries, the Insurance Regulatory and Development Authority of India has repealed its “Guidelines on repatriation of dividends by insurance intermediaries having majority by foreign investors”, issued under Ref. No. IRDAI/INT/GDL/MISC/004/01/2020 dated 3 January 2020.
The repeal is with effect from 30 July 2026.
Why
The circular explains that IRDAI notified the IRDAI (Insurance Intermediaries) (Amendment) Regulations, 2026 on 30 July 2026. The purpose of those regulations was to align the regulatory framework governing insurance intermediaries with:
- the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025; and
- the Indian Insurance Companies (Foreign Investment) Amendment Rules, 2025.
The Amendment Regulations, among other things, removed two requirements:
| Requirement | Position after the Amendment Regulations, 2026 |
|---|---|
| Prior approval of the Authority for repatriation of dividends | Removed |
| The condition on related party payments | Removed |
With those requirements gone from the regulations, the 2020 guidelines that dealt with repatriation of dividends by foreign-majority intermediaries are repealed from the same date.
What it means for intermediaries
The circular follows from the regulation change. An insurance intermediary with majority foreign investment should treat the 2020 guidelines as no longer in force from 30 July 2026 and read the IRDAI (Insurance Intermediaries) (Amendment) Regulations, 2026 for the current position on dividends and related party payments. The circular itself does not set out any new procedure or reporting requirement.
The circular is issued with the approval of the competent authority and is signed by the Chief General Manager (Intermediaries).
Questions and answers
Which guidelines has IRDAI repealed?
The Guidelines on repatriation of dividends by insurance intermediaries having majority by foreign investors, issued vide Ref. No. IRDAI/INT/GDL/MISC/004/01/2020 dated 3 January 2020.
From what date is the repeal effective?
From 30 July 2026, the date on which the IRDAI (Insurance Intermediaries) (Amendment) Regulations, 2026 were notified. The repeal circular itself is dated 22 September 2026.
Is IRDAI’s prior approval still needed to repatriate dividends?
The circular states that the Amendment Regulations, 2026 have removed the requirement of obtaining prior approval of the Authority for the repatriation of dividends, and also the condition on related party payments.
Published 22 September 2026. Updated 6 October 2026. This report is for general information and is not professional advice. Read the source document before acting on it.