Section 5 of IRDAI Act : Section 5: Tenure Of Office Of Chairperson And Other Members

Explanation using Example

Imagine that Ms. Sharma is appointed as the Chairperson of the Insurance Regulatory and Development Authority (IRDA). According to Section 5(1) of the IRDA Act, Ms. Sharma will serve a term of five years starting from the date she assumes her office. If she wishes to continue beyond this period, she may be considered for reappointment. However, once she reaches the age of 65, she will no longer be eligible to serve as the Chairperson, even if her five-year term has not been completed.

Mr. Kumar, another member of the IRDA, is serving as a whole-time member. He is also subject to a five-year term, similar to the Chairperson, but he cannot continue in his role beyond the age of 62, as stipulated by the Act.

Lastly, Dr. Gupta, who is a part-time member of the IRDA, will hold his position for a term that does not exceed five years from the date he starts. If Dr. Gupta decides to resign before completing his term, he must provide a written notice to the Central Government at least three months in advance, in line with Section 5(3)(a). Alternatively, if certain conditions are met as per Section 6 of the Act, he could be removed from his office.