You cannot take agency in the same insurance company. Above act is amended. See relevant point -
Ref: IRDA/CAD/GDL/AGN/016/02/2011
RELATIVES OF EMPLOYEES OF INSURANCE COMPANIES NOT TO BE ENGAGED AS AGENTS
Relatives of employees of insurance companies shall not be engaged as agents by the same insurer. For this purpose, the definition of “relative” shall include spouse, sisters, brothers, parents, sons, daughters - in-law, daughters and sons-in-law.