Call us now

How to obtain IRDA licence for insurance agents

Home / Life Insurance / How to Obtain IRDA Licensing: The Complete 2024 Guide

Table of Contents

Overview of IRDA Insurance Licence

The Insurance Regulatory and Development Authority of India (IRDAI) regulates the insurance sector and ensures compliance with industry standards. An IRDA license is mandatory for individuals (advisors/agents) and businesses operating in the insurance sector (Life Insurance, Health Insurance, General Insurance) including insurance agents, brokers, and corporate entities. This license ensures credibility, legal compliance, and consumer trust in insurance services.

Purpose of Securing an IRDA Licence.

For Busiensses

  • Legal Compliance – Operating without a license is illegal and can result in penalties.

  • Credibility – Clients trust licensed professionals and companies, ensuring a strong reputation.

  • Business Expansion – Enables partnerships with major insurers, leading to growth opportunities.

 

For Individuals (Agents/Advisors)

  • Legal Authorization – Selling insurance without a license is illegal and can lead to fines or legal consequences.

  • Professional Credibility – Licensed agents gain client trust, improving conversion rates and professional reputation.

  • Access to Insurance Products – Only licensed agents can legally sell policies from IRDA-regulated insurers.

  • Earning Potential – Allows agents to earn commissions and bonuses from insurance sales.

  • Career Growth – Provides opportunities for advanced certifications and senior roles in the insurance sector.

Eligibility Criteria to obtain IRDA licence for insurance agents

To obtain IRDA license (for insurance agent), following are the key requirements. 

  • Minimum 18 years of age

  • Educational qualification:

    1. Urban areas: 12th pass (Higher Secondary)

    2. Rural areas: 10th pass.

  • Clean financial and criminal record

  • Completion of IRDAI-approved training

Documents Required for IRDA Licence Application

To obtain IRDA licence for insurance agents, submit the following documents.

  • Identity Proof (Aadhaar/PAN/Passport)

  • Address Proof (Utility bills/Rental agreement)

  • Educational Certificates (10th/12th mark sheets)

  • Training Completion Certificate

  • Passport-sized photographs

  • Bank documents

Step-by-Step Process to get IRDA certified (Register for the IRDA Exam)

The process to obtain IRDA licence for Insurance agents, includes these steps:

Step 1: Register yourself to IRDA site.

Visit irdai.gov.in and register as an insurance agent.

Step 2: Complete Mandatory Training

  • Enroll in IRDAI-approved training program

  • Duration: 50 hours (new agents) or 25 hours (experienced)

  • The training covers insurance fundamentals, regulations, and ethics

Step 3: Pass the IRDAI (IC-38) Examination

After completion of IRDA training, the applicant has to schedule his/her exam at the nearest exam center. Here are few details about the examination to become IRDA certified insurance agent. How to clear the IC-38 exam?

  • Computer-based test at authorized centers

  • Syllabus includes:

    1. Insurance products

    2. Regulatory framework

    3. Sales practices

    4. Ethical guidelines

  • Passing score: Minimum 35% marks out of 100

Step 4: Submit Application & Documents and pay licensing fees.

After passing the examination, the applicant must submit the required application and documents, then pay the licensing fees.

  • File Form IRDA-A (agents) or IRDA-B (brokers)

  • Submit all required documents (mentioned above).

  • Pay applicable fees:

    1. Individual agents: ₹750

    2. Corporate brokers: ₹50,000-5 lakhs

Step 5: License Granting

Now, the applicant has to wait for  the license to become IRDA certified insurance agent.

  • Processing time: 30-45 days

  • Physical license certificate issued

  • Name added to IRDAI’s public register

Training & Examination Details

  • Training Duration: 15-50 hours (varies for new & experienced agents).

  • Exam Format: Multiple-choice questions (MCQs) on insurance laws & policies.

  • Passing Marks: Minimum 30% (varies by state).

IRDA Licence Renewal Process

Step 1: Complete Renewal Training

  • 25 hours of refresher course

  • Covers regulatory updates

  • Must be completed before expiry

Step 2: Submit Renewal Application

  • File Form IRDA-R

  • Attach updated documents

  • Pay renewal fees:

    1. Agents: ₹200-500

    2. Brokers: ₹25,000-2.5 lakhs

Step 3: Receive Renewed Licence

  • Processing time: 15-30 days

  • New validity: 3 years from renewal date

**Note: Renewal applications should be filed at least 30 days before expiry to avoid penalties.

Common Reasons for IRDA Licence Rejection

  • Incomplete documentation

  • False information

  • Insufficient qualifications

  • Criminal record

  • Financial irregularities

  • Non-payment of fees

Professional Opportunities of IRDA certified insurance agent

  • Insurance Agent (Individual/Corporate)

  • Insurance Broker

  • Surveyor and Loss Assessor

  • Web Aggregator

  • Third Party Administrator

Conclusion

To obtain IRDA licence for insurance agents, follow the eligibility criteria, training, and application process. Becoming an IRDA certified insurance agent ensures legal compliance, credibility, and career growth.

For expert guidance, visit AdvisorBano.

Scroll to Top