Irda may change commission structure of insurance agents
New Delhi: India’s insurance regulator plans to alter the commission structure of agents to help life insurers cut costs, a top official said. The move could also benefit policyholders.
For both insurers and the insured, a large chunk of first-year premium goes towards writing off distribution costs such as agents’ commissions.
According to the guidelines of the Insurance Regulatory and Development Authority, or Irda, the commission depends on the type of insurance plan.