“EVALUATION OF CORPORATE GOVERNANCE IN INSURANCE SECTOR IN INDIA”

Abstract

The evaluation of corporate governance in the insurance sector in India holds significant relevance in the contemporary financial and regulatory landscape. Corporate governance, as a framework for ethical conduct, transparency, accountability, and efficient management, plays a pivotal role in ensuring the financial stability and integrity of insurance companies, which manage long-term public funds and policyholder interests. The insurance sector, governed by the Insurance Regulatory and Development Authority of India (IRDAI), has witnessed a series of reforms aimed at strengthening corporate governance mechanisms in response to globalization, privatization, and liberalization. This research critically examines the corporate governance structure in Indian insurance companies by focusing on regulatory compliance, board effectiveness, risk management practices, stakeholder relationships, and disclosure norms. The study also explores the role of independent directors, audit committees, and the impact of corporate governance on policyholder protection and investor confidence. Through an analysis of both public and private insurers, the study highlights emerging trends, challenges, and gaps in governance practices, particularly in light of evolving regulatory expectations and the increasing complexity of insurance products. It also underscores the importance of aligning governance standards with international best practices to enhance competitiveness and trust in the sector. The findings of the study aim to provide valuable insights for policymakers, regulators, corporate leaders, and academics, contributing to the broader discourse on improving governance frameworks in financial institutions.