TPA Licence: IRDAI Registration for Third Party Administrators
A TPA licence lets a company run health-insurance claim services, such as cashless claims and hospital networks, for insurers. IRDAI wants a private company with ₹4 crore paid-up equity, ₹1 crore net worth and “Insurance TPA” in its name. We form the company and prepare your application.
What it is
A third party administrator, or TPA, works between the insurer, the hospital and the policyholder. It processes cashless approvals, settles claims and manages a hospital network, and earns a fee from the insurer. It does not sell insurance policies.
TPAs are regulated under the IRDAI (Third Party Administrators – Health Services) Regulations, 2016. You need a certificate of registration before you start. The certificate is valid for three years and then needs renewal. The application is made online on the IRDAI BAP portal, with a non-refundable processing fee.
Who it applies to
Healthcare and claims professionals
Picture a former claims manager from a Delhi insurer who wants to run her own TPA. This is the licence for that business.
Entrepreneurs with a technology platform
If you have a claims or hospital-network platform, you still need registration before insurers can outsource work to you.
Insurance and health groups
Groups that want a separate TPA entity can set one up. Foreign investment must follow Government of India policy and IRDAI rules.
Why it matters
Insurers can outsource only to registered TPAs
Without the certificate you cannot sign TPA agreements with insurers. Registration is the entry ticket for the business.
Capital keeps weak entities out
The ₹4 crore equity and ₹1 crore net worth rules give hospitals and insurers some comfort about your stability.
A fixed scope keeps review simple
The company’s object must be health services only. IRDAI reviews one business, not several.
Capital and fee snapshot
These are the figures in the IRDAI requirements page for TPAs. We confirm them again on the date you file, since IRDAI has proposed changes.
| Item | Requirement |
|---|---|
| Entity | Company incorporated under the Companies Act, 2013 |
| Name | Must include the words “Insurance TPA” |
| Paid-up equity capital | Not less than ₹4 crore |
| Net worth | Never below ₹1 crore during registration |
| Processing fee | ₹1,00,000, non-refundable |
| Registration fee | ₹2,00,000, valid for 3 years |
| Renewal fee | ₹1,50,000 every 3 years |
Where Taxhint fits
We handle company formation with the right name and object, the capital and net worth paperwork, the BAP portal application, replies to IRDAI and renewal tracking. Your hospital network, claims software and clinical staff are yours to build or bring in.
Here is the catch many first-time founders meet: the name and the object clause are fixed at incorporation, and changing them later costs time. A promoter who registers a plain “Health Services Private Limited” has to rename before IRDAI will look at the file. We settle the name first.
Documents required
Company documents
- Certificate of incorporation, MOA and AOA
- PAN, TAN and registered office proof
- Board resolution approving the application
Capital and people
- Net worth certificate from a practising CA
- Shareholder and director details
- Principal officer credentials, with experience and training
Business papers
- Business plan for the TPA operation
- Hospital network and technology plan
- Fee payment proof and any extra papers IRDAI asks for
How it works
Incorporate the right company first
We register the company with the “Insurance TPA” name and a health-services-only object. See private limited company registration for the process.
Build the capital and net worth proof
We help you document the ₹4 crore paid-up capital, and prepare working papers so a practising CA can certify the ₹1 crore net worth.
Apply on the IRDAI BAP portal
We register you on the portal, upload the application with documents, pay the processing fee and track the review.
Answer queries, then collect the certificate
We reply to IRDAI queries. After approval you pay the registration fee and receive the certificate of registration.
Timelines
Certificate validity
The certificate of registration is valid for three years from issue, then it must be renewed.
Continuous net worth
Net worth must stay at or above ₹1 crore at all times during the period of registration.
Proposed change to annual fee model
IRDAI issued a draft amendment on 19 June 2026 proposing continuous registration with an annual fee. It was not final in the latest update we checked.
What happens if you operate without a valid certificate
Business cannot start
Insurers cannot appoint an unregistered TPA, and agreements signed without a certificate leave you exposed.
Net worth falls below ₹1 crore
Falling below the minimum during registration is a breach of the regulations and can lead to action by IRDAI.
Certificate lapses
If you do not renew before the three years end, you risk losing the right to work as a TPA. Under the draft, existing holders would apply within 90 days before expiry.
Frequently asked questions
Who can get a TPA licence in India?
Only a company incorporated under the Companies Act, 2013 can apply, and its name must include “Insurance TPA”. LLPs and partnerships are not eligible. The sole object in the MOA must be health services. Foreign investment follows government policy. We check your structure before incorporation, so you do not have to change names later.
What is the minimum capital for a TPA?
A TPA needs paid-up equity share capital of not less than ₹4 crore, and net worth must not fall below ₹1 crore at any time during registration. A practising CA certifies the net worth. We help you plan the capital build-up and prepare the working papers behind the certificate.
What are the IRDAI fees for a TPA licence?
The processing fee is ₹1,00,000 and is non-refundable. The registration fee is ₹2,00,000 for three years, and renewal costs ₹1,50,000 every three years. IRDAI has proposed an annual fee model in a June 2026 draft. We confirm the current schedule on the day you file.
How long is a TPA certificate valid?
A TPA certificate of registration is valid for three years and must then be renewed. IRDAI’s June 2026 draft proposes continuous registration with an annual fee, with existing holders applying within a 90-day window before expiry. We track your expiry date and prepare the renewal papers early.
Where do I apply for a TPA licence?
You apply online on the IRDAI BAP portal. You register the company there, submit the application and documents, and pay the non-refundable processing fee. IRDAI reviews the file and, after approval, you pay the registration fee. We handle the portal work and reply to IRDAI queries for you.
Can my TPA also do other business?
No. The company’s sole object must be health services, and the MOA must say so. Keeping the business narrow is part of how IRDAI regulates TPAs. If you want other activities such as insurance distribution, a separate entity is the safer route. We can advise on the structure before you incorporate.
Who signs the net worth certificate?
A practising chartered accountant certifies the net worth. Taxhint prepares the schedules and the application, and coordinates with the CA who signs. That keeps the certificate independent and acceptable to IRDAI. We plan the timing so the certificate is dated close to your filing.
Does Taxhint provide the hospital network or software?
No. Taxhint handles company formation, documents, the portal application, liaison and post-registration compliance. Your hospital network, claims software and clinical staff come from you or your technology partners. We can map what IRDAI expects in the business plan, so the application reads as complete.
What it costs
Our fee plus the government fee that applies to your case, quoted before you commit. Tell us the situation and we will price it exactly.
Government fees under the IRDAI requirements: processing fee ₹1,00,000 (non-refundable), registration fee ₹2,00,000 for three years and renewal fee ₹1,50,000 every three years. Company incorporation charges and stamp duty are separate.
Ready to begin?
Tell us your plan and capital, and we will map the company set-up, net worth proof and IRDAI application.