The General Insurance Council (“Council”) has been implementing Electronic Transaction Administration and Settlement System (“ETASS”) for capturing of Co-insurance transactions, reconciliation and settlement of balances between member insurance companies. The system has been in operation from April 2017 for all lines of Business and the Council agreed that from 1st April 2018, the system would be treated as live and all co-insurance transactions will be settled between member insurers only on the basis of ETASS statement.
A certificate from the statutory auditor also needs to be submitted to the Authority, in the prescribed format as Annexure A (of the hyperlinked document), along with the annual financial statements certifying that there is no difference in books of accounts and ETASS with regard to co-insurance transactions that relate to policies with a risk start date on or after 1st April 2018.
Source: Insurance Regulatory and Development Authority
