Question
According to the Insurance Act when Administrator for
management of insurance business may be appointed by the Authority?Solution
Insurer carrying on life insurance business is acting in a manner likely to be prejudicial to the interests of holders of life insurance policies, Explanation: Section 52A When Administrator for management of insurance business may be appointed. --(1) If at any time the Authority has reason to believe that an insurer carrying on life insurance business is acting in a manner likely to be prejudicial to the interests of holders of life insurance policies, it may, after giving such opportunity to the insurer to be heard appoint an Administrator to manage the affairs of the insurer under the direction and control of the Authority.
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