Mumbai, Oct. 25: After years of wait, stock market regulator Sebi has finally cleared the way for listing of insurance companies. On Monday, Sebi announced that it has cleared the disclosure and accounting requirements for insurance companies to list. “The Board noted that the Sebi Regulations 2009, which are sector neutral would also apply to insurance companies. The board also noted and approved recommendations of Sebi Committee on Disclosures and Accounting Standards,” said Sebi chairman, Mr C.B. Bhave.
Having a clear cut norms for listing will help investors value these firms better. However, a draft guideline released by insurance sector regulator IRDA says that only those firms that have been in business for 10 years can be listed. This means only few of the existing firms would be eligible.