Solomon & Co. is a full-service law firm headquartered in Mumbai, the financial and commercial capital of India, with offices in Mumbai and Pune. Founded in 1909, the firm is ranked amongst the most reputed law firms in the country.
The firm provides high-value legal services across a broad range of practice areas, including Corporate, Mergers and Acquisitions, Business and Trade, Banking and Finance, Capital Markets, India entry, Private Equity, Dispute Resolution, Real Estate and Construction, Insurance and Intellectual Property. Since its inception, Solomon & Co. has been advising Indian and international companies, government organizations and individuals on their most challenging transactions. Our clients range from global banks, investment funds and high net-worth individuals to not-for-profit organizations. Solomon & Co. is a member of Alliott Global Alliance in Mumbai, Pune and Goa.
A recent RBI circular dated 5 January 2015 has added further
clarifications and guidelines to the participation of banks in
the insurance sector, which activity has been permitted
since 2000 and whose scope has been steadily increasing since
then.
Banks can undertake insurance business by: (i) setting up a
subsidiary or joint venture on a risk participation basis
and/or (ii) acting as insurance brokers or as agents of
insurance companies on a fee basis (without any risk
participation by the banks and their subsidiaries), either (a)
through a subsidiary or joint venture or (b) through an existing
department in the bank. Note that only one entity in a banking
group can undertake insurance distribution through either mode
(ii)(a) or mode (ii)(b) above.
RBI approval is required for (i) and (ii)(a). No RBI approval is required for (ii)(b).
Originally published in March 2015.
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