The members who are not in practice can explore this avenue and yield handsome results in marketing the products as they are well equipped with the technical knowledge and skills required to perform the function.

The following is the gist of formalities to be complied with in this regard:

A person desirous of obtaining a licence to act as an insurance agent and who doesn't suffer from any of the disqualifications of section 42(4) of the Insurance Act, 1938 has to apply for the same to the Insurance Regulatory and Development Authority (IRDA) or an officer authorized by it in this behalf in:

1. Form IRDA-Agents-VA, if the applicant is an individual;
2. Form IRDA-Agents-VC, if the applicant is a firm or a company.

The applicant has to pay a fee of Rs. 250/- for the issuance of licence to act as an insurance agent.

The section 42(4) of the Insurance Act provides that the licence would not be issued to the person who:

1. is a minor;
2. is found to be of unsound mind by a Court of competent jurisdiction;
3. has been found guilty of criminal misappropriation or criminal breach of trust or cheating or forgery or an abetment of or attempt to commit any such offence by a Court of competent jurisdiction.
   Provided that where at least five years have elapsed since the completion of the sentence imposed on any person in respect of any such offence, the Authority shall ordinarily declare in respect of such person that his conviction shall cease to operate as a disqualification under the clause;
4. in the course of any judicial proceeding relating to any policy of insurance or the winding up of the insurance company or in the course of an investigation of the affairs of an insurer has been found guilty or to have knowingly participated in or connived at any fraud, dishonesty or misrepresentation against an insurer or an insured;
5. does not possess the requisite qualifications and practical training for a period not exceeding twelve months, as may be specified by the regulations made by the authority in this behalf;
6. has not passed such examination as may be prescribed by the regulations made by the Authority in this behalf.
   Provided that a person who had been issued a licence under sub-section (1) of this section or sub-section (1) of section 64UM shall not be required to possess the requisite qualifications, practical training and pass such examination as required by clauses (e) and (f);
7. violates the code of conduct as may be specified by the regulations made by the Authority.
   

1. a pass in 12th standard or equivalent examination conducted by any recognized Board/Institution, where the applicant resides in a place with a population of five thousand or more as per the last census; or
2. a pass in 10th standard or equivalent examination conducted by any recognized Board/Institution, where the applicant resides in any other place.

The applicant should have completed at least 100 hours' practical training in life or general insurance business, as the case may be from an approved institution, where he is seeking the licence for the first time. In case of an applicant, who is seeking the licence to act as a composite agent for the first time, 150 hours' practical training in life and general insurance is required.

An applicant who is:

1. an Associate/Fellow of the Insurance Institute of India, Mumbai;
2. an Associate/Fellow of the Institute of Chartered Accountants of India, New Delhi;
3. an Associate/Fellow of the Institute of Cost and Works Accountants of India, Calcutta;
4. an Associate/Fellow of the Institute of Company Secretaries of India, New Delhi;
5. an Associate/Fellow of the Actuarial Society of India, Mumbai;
6. a Master of Business Administration of any Institution/University recognized by any State Government or the Central Government; or
7. possessing any professional qualification in marketing from any Institution/University recognized by any State Government or the Central Government-

will have to complete 50 hours' practical training from an approved institution.

Provided that such applicant will have to complete 70 hours' practical training in case he is seeking the licence to act as a composite agent.

The applicant is required to pass the pre-recruitment examination in life or general insurance, or both, as the case may be, conducted by the Insurance Institute of India, Mumbai or any other examination body.

The licence issued shall entitle the holder to act as an insurance agent for any insurer.

However, the regulations pertaining to qualifications, practical training and pre-recruitment examination are not applicable to the existing agents before the commencement of the Insurance Regulatory and Development Authority (Licensing of Insurance Agents) Regulations, 2000.