IRDAI to implement Indian Accounting Standards for all insurers from April 1. Details here

The Insurance Regulatory and Development Authority of India (IRDAI) has issued the Exposure Draft of the Insurance Regulatory and Development Authority of India (Actuarial, Finance and Investment Functions of Insurers) (Amendment) Regulations, 2026, along with a detailed consultation paper.

In a press release dated March 3, 2026, IRDAI said the proposed amendments mark “a step towards aligning India’s insurance financial reporting framework with globally accepted standards.” The move is part of the regulator’s ongoing commitment to strengthening policyholder protection and reinforcing confidence in the insurance sector.

IRDAI proposes to implement Indian Accounting Standards (Ind AS) for all insurers with effect from April 1, 2026. The proposed effective date shall be applicable to all categories of insurers, including Life Insurers, General Insurers, Health Insurers and Re-insurers.

According to IRDAI, the Exposure Draft sets out the proposed regulatory framework governing the recognition, measurement, presentation and disclosure of financial statements by insurers adopting Ind AS. The proposed amendments aim to promote greater consistency, transparency and comparability in financial reporting across the insurance sector, in alignment with globally accepted standards, while preserving regulatory prudence and safeguarding policyholder interests.

“The framework has been developed after comprehensive engagement with insurers, including structured gap assessments and analysis of pro-forma financial submissions, to evaluate operational readiness and the impact assessment,” IRDAI said. These measures are intended to facilitate a smooth and orderly transition to Ind AS-based financial reporting.

IRDAI has invited public comments on the Exposure Draft from insurers, industry associations, professional bodies, actuaries, auditors and other interested entities. The Exposure Draft is available on the IRDAI website.