Insurance Regulatory and Development Authority

18.04.2016

Insurance

Accounting Treatment of Enhanced Provision of Pension Scheme

MANU/IRDA/0011/2016

In light of the pay revision of officers and employees carried out by public sector insurers in 2015-2016, the Insurance Regulator Development Authority has permitted insurers to amortize additional liability over a period of five years. Subject to specified conditions, the period commences from Financial Year 2015-2016. Public sector insurers have faced increased ‘Employee Liability’ ever since the Pension Scheme 1995 was extended from PSU employees who joined till 31.03.2010 to also those joined till 31.03.2004.

Relevant

General Insurance (Rationalisation of Pay Scales and other Conditions of Service of Officers) Amendment Scheme, 2016 MANU/FNSV/0047/2016

Tags : insurance public sector employees liability

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