Section 2B of IA : Section 2B: Appointment Of Controller Of Insurance

Explanation using Example

Imagine the Insurance Regulatory and Development Authority (IRDA), which is responsible for regulating the insurance industry in India, faces issues that lead to its temporary dissolution. In this situation, according to Section 2B of the Insurance Act, 1938, the Central Government steps in and appoints a new Controller of Insurance to oversee the industry.

For instance, Mr. Sharma, who has a rich background in insurance and actuarial science, could be appointed as the Controller of Insurance. His appointment would ensure that despite the absence of IRDA, the insurance sector remains regulated and functions smoothly until the IRDA is reconstituted and can take over its duties again.