Economy, Banking and Finance · 5 November 2026

Insurance Regulatory and Development Authority of India Mandates Four-Layer Motor Insurance Structure and Tightens ESOP Norms

Exam-focused facts from the 5 November 2026 current affairs briefing.

Key facts

  • The Insurance Regulatory and Development Authority of India (IRDAI) directed general insurers to implement a four-layer motor insurance policy structure for private cars and two-wheelers from 15 December 2026.
  • Insurers must disclose coverage and premium separately for each section of the four-layer motor insurance structure.
  • IRDAI tightened Employee Stock Option Plan (ESOP) norms for insurance companies, requiring prior approval for shareholdings crossing specific thresholds.
  • IRDAI reduced share transfer approval fees by 80%.