IRDAI Proposes Public Insurance Registry to Enhance Transparency and Market Efficiency

The Insurance Regulatory and Development Authority of India (IRDAI) has proposed the creation of a Public Insurance Registry (PIR). Described as a digital public infrastructure, the proposed registry aims to build a more connected, transparent, and efficient insurance ecosystem.

According to the regulator, the initiative is designed to reduce information gaps and encourage competition among insurers and market participants. This competitive environment is expected to drive innovation in product offerings, competitive pricing, and improved customer service. The regulatory move aligns with the objectives outlined in the Sabka Bima Sabki Raksha Act, 2025, as stated in a release issued on Tuesday.

The IRDAI noted that the PIR intends to strengthen consumer protection, enhance market efficiency, and expand insurance coverage as part of the next phase of sector reforms. The framework draws on lessons learned from digital public infrastructures implemented in other sectors of the Indian economy. The proposed system is intended to serve as a foundation for better protection, innovation, and public value through trusted information.

The consultation paper outlines a user-centric approach aimed at facilitating data-driven insurance processes and decision-making. At present, the proposed use cases remain at the conceptual stage. Detailed functional and technical specifications will be developed as the PIR advances toward implementation. Designed as a population-scale, interoperable, and non-exclusionary digital public infrastructure, the registry seeks to promote affordability and financial sustainability across the insurance sector.

The regulator stated that the PIR will adopt an approach combining technology, governance, and market participation to support wider financial resilience. Regulatory guardrails will guide market-based risk pooling and encourage private innovation in the public interest.

In connection with the proposal, the IRDAI has invited comments and suggestions from the public and relevant stakeholders. Feedback is being sought on various aspects of the proposed framework, including its objectives, use cases, data architecture and standards, privacy and consent safeguards, confidentiality, governance, and implementation and transition plans. Comments must be submitted in English using full sentences and must comply with community guidelines.

"The introduction of a Public Insurance Registry by the IRDAI marks an important step toward standardizing data infrastructure within the financial services sector. By leveraging digital public infrastructure principles similar to those seen in other parts of India's economy, this initiative has the potential to reduce information asymmetry and foster a more competitive market environment. For businesses and technology innovators operating in the insurtech space, the proposed framework opens up avenues for developing data-driven products, provided that privacy and consent safeguards are robustly implemented during the transition phases." — Dr. Shishir Gupta, Founder & CEO, StartupLanes