Insurance companies are seeking more time to implement the Bima-ASBA payment mechanism. This new system, introduced by the Insurance Regulatory and Development Authority of India (Irdai), aims to streamline premium payments for health and life insurance policies.
According to multiple sources, insurers have approached Irdai to request an extension on the initial March 1 deadline. The Bima-ASBA feature, which allows policyholders to block premium amounts until underwriting is complete, is intended to improve convenience and reduce payment-related delays.
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Irdai introduced the Bima–ASBA facility in mid-February, mandating insurers to offer it to policyholders. However, a significant number of insurance companies have yet to fully implement the feature. The companies are currently in discussions with the UPI facility providers to integrate the new payment system.
