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Arnold Thomas

Expert

Published on: Jul 30, 2026

Registration of Underwriters

As per the rules of

Securities and Exchange Board of India (SEBI), an underwriter is an authorised risk-assessor. The underwriters evaluate the risks in the planning and functioning of the other party. The underwriter has to register themself with SEBI and must be authorised by getting a license. This profession mainly deals in areas like:
  • Insurance industry
  • Mortgage industry
  • Debt securities
  • Equity market and trading
  • Banking industry

The underwriters are also termed as “risk experts” and help organisations/institutes to preclude financial losses in the long-term investments. To act as a professional underwriter in the market, the aspiring applicant needs to get a license or registration under the SEBI. Underwriting has to be performed under the guidelines established by SEBI under the Securities and Exchange Board of India (Underwriters) Regulations laid in 1993.

Registration Procedure

  1. The applicant has to fill out Form A from the link /acts/act162.html?uc_sub_sec_id=5&uc_sec_id=1#FORM%20A

The application has 2 major parts, namely: Part-I on General/Personal Information and Part-II on Business Information.

  • The Part-I of application will collect information on the applicant as mentioned below:
    • General Information-Information of Applicant
    • Details of Organisation Structure
    • Details of Infrastructure Facilities
    • Business Plans for three years
    • Financial Information
  • The Part-II of application will collect information on the Business as mentioned below:
    • Nature of Underwriting
    • Experience details
  1. If the board feels that information is incomplete and need further information from the applicant, then the applicant or principal officer to appear before the board. This gives the opportunity to the applicant to provide more information under Regulation 3, where Form-A can be used.
  2. Application to conform to the requirements

If the application is not complete in any aspect or is not according to the instructions given in the form, then the form will be summarily rejected. Prior to rejection, the applicant will be provided one month of time to remove any objection that could have been indicated by the board. Applicants will also be provided with an additional one month to meet the requirements of the board.

Application Consideration

Basic Requirements

The board will approve the certificate of the applicant if all of the following conditions are met with reference to underwriting:

  1. Candidate should have required office space, instruments, and manpower to effectively carry out his work.
  2. Candidate should have experience in underwriting or employ a minimum of 2 people who have experience in underwriting
    • Any individual who is involved with the applicant directly or indirectly who has undergone any kind of disciplinary action will not be considered for underwriting
  1. Applicant fulfils the capital requirements as per below, which is followed by Regulation 7:
    • The applicant should have capital, not less than the net worth of rupees twenty lakhs.
    • If the underwriter is involved with stocks, the underwriter should fulfil the capital adequacy requirements specified by the stock exchange (Stock Brokers and Sub-Brokers Regulations, 1992).
    • If the underwriter is involved with banks, the underwriter shall fulfil the Securities and Exchange Board of India (Merchant Banker) Regulations 1992.
  1. The director or partner or principal officer of the company should not have been convicted for any offence involving moral-related offence or has been found guilty of any economic offences.

Fee Guidelines

If the board is satisfied with the application, the applicant is eligible to get a certificate in Form-B. The board will send an intimation letter within 1 month. Candidate has to pay fees as per Regulation 12, which is provided below:

  • The applicable registration fee of Rs.5 lakhs should be paid by the eligible underwriter at the time of issuing license certificate by the Board
    • The renewal fee of Rs.2 lakhs every three years is applicable.
  • The fee should be paid within fifteen days from the date of receipt of intimation from the Board
  • The fees can be paid by the underwriter through a DD in the name of "Securities and Exchange Board of India" payable at Mumbai or the respective regional office.

Code of Conduct of Underwriter

  • Every underwriter should maintain high standards of integrity, dignity and fairness with clients
  • An underwriter should act ethically in all their dealings with a body corporate making an issue of securities
  • The underwriter should not indulge in any unfair competition which could harm the interest of other underwriters or carrying out any assignment.
  • The underwriter should not make any statement, either oral or written, which would misrepresent
  • The underwriter should not divulge the confidential informations to others like Press or any party.
  • The underwriter should not suppress the material facts in any documents, reports, papers or information furnished to the Board.

For more details, the user can go through this link:

/acts/uwregu93.html  The FAQs can be accessed here:
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Frequently Asked Questions

Common questions about Underwriter Registration SEBI: Procedures & Requirements.

An underwriter is an authorized risk-assessor registered with the Securities and Exchange Board of India (SEBI). Their primary role is to evaluate the risks involved in the planning and functioning of organizations, helping them mitigate potential financial losses in long-term investments. Underwriters are essentially considered "risk experts" in various industries like insurance, mortgage, debt securities, equity market, and banking.
To become an underwriter, an applicant must meet certain requirements set by SEBI, such as having the necessary office space, instruments, and manpower to carry out underwriting effectively. Additionally, the applicant must have experience in underwriting or employ at least two individuals with underwriting experience. The applicant must also fulfill capital requirements and adhere to specific regulations concerning their net worth and capital adequacy.
The registration process involves filling out Form A, which consists of two parts: Part-I for general/personal information and Part-II for business information. The application must provide details about the applicant's organization structure, infrastructure facilities, business plans, financial information, nature of underwriting, and experience details.
If the application is incomplete or does not conform to the instructions provided in Form A, SEBI may summarily reject it. However, the applicant will be given one month to address any objections raised by SEBI and an additional month to meet the board's requirements before the application is rejected.
Upon approval, the applicant must pay a registration fee of Rs. 5 lakhs to obtain the underwriter license certificate from SEBI. Additionally, a renewal fee of Rs. 2 lakhs is payable every three years.
Underwriters are expected to maintain high standards of integrity, dignity, and fairness with clients. They must act ethically, avoid unfair competition, refrain from misrepresenting information, and protect confidential information. Underwriters must also not suppress material facts or divulge confidential information to unauthorized parties.
The article does not specify a definitive timeline for the registration process. However, it mentions that if the application is complete and meets all requirements, SEBI will send an intimation letter within one month, indicating that the applicant is eligible for the underwriter certificate (Form B).
No, SEBI's regulations state that any individual directly or indirectly involved with the applicant who has undergone disciplinary action or been convicted of an offense involving moral turpitude or economic offenses will not be considered eligible for underwriter registration.
Yes, underwriters are required to renew their registration with SEBI every three years by paying the applicable renewal fee of Rs. 2 lakhs within 15 days of receiving the intimation from the board.
The article provides links to additional resources for more detailed information. The specific link /acts/uwregu93.html contains the Securities and Exchange Board of India (Underwriters) Regulations laid out in 1993, which outlines the registration process and guidelines. Additionally, a link to an FAQ document is provided for further clarification.