Irdai hikes agent payouts
Irdai believes that agents need to be rewarded to account for benefits such as gratuity, term insurance cover, various group insurance covers, telephone charges, office allowance, sales promotion gift items, competition prizes and such other items
As the entire financial sector moves towards lower fees, payments and charges, there is one outlier—the Indian insurance industry. The industry is not at fault; for that we must look towards what the regulator is doing. Almost a year after it floated a draft on rethinking commission rates, on 14 December 2016, the insurance regulator—Insurance Regulatory and Development Authority of India (Irdai)—hiked the total payout to the distribution arms. You can read the document here: https://bit.ly/2jjM69X.