Insurance regulator IRDA Chairman J Hari Narayan is stepping down from the top job today, on Feruary 20, leaving behind a long list of controversies.

Mr. Narayan often remained entangled by controversies during his five-year tenure at the helm of the insurance regulator. He clashed with the then SEBI Chairman CB Bhave over the regulation of ULIPs; and severely opposed the launch of Pension Products by insurance firms. He argued that only Life Insurance Corp. of India (LIC) had the resources to pay an annuity to investors.

Mr. Narayan was not averse to even opposing the finance ministry, if it was necessary to ensure investors' protection. He had severely opposed the union finance ministry when it gave LIC a 30 per cent exposure to equities.

The outgoing chairman said the sector would have performed better, in case better products had been offered.

Speaking on the topic, he added, "We allowed largely toxic products to invade the market place and destroy the public confidence and precisely that is what happened."

He also stressed that one agent should work only for one insurance company. He said there was no logic in some bankers' demand that a bank should be permitted to be the agent of more than one insurance firm.

Sources suggest that the top job at the Hyderabad-based IRDA would now go to T S Vijayan, who was denied an extension as LIC chairman. As per the sources, Vijayan's papers are being processed, and he will take up the new assignment over the next few weeks.