What is the role of a 'with profits committee' of a life insurance company ? How is it constituted ?

'With Profits' Committee is unique to Life insurance companies. Under Participating line of business for Life insurance companies, Policyholders are entitled to a Bonus which may be declared depending on the surplus that emerges from this line of business. Out of the surplus, not less than 90% shall be distributed to Policyholders as bonus and the balance 10% goes to Shareholders. In order to ensure transparency and governance over the distribution of surplus, Regulation 45(d) of IRDAI (Non-linked Products) Regulations, 2013 have prescribed constitution of a 'With Profits' Committee comprising of the following members: CEO Appointed actuary 1 Independent Director 1 Independent Actuary The Committee is responsible for the following: Examining detailed working of the asset share (share of assets for participating business) at the Policy level Expenses allocated to Participating business Investment income earned in Participating business