Proposed commission cap by Irdai raises alarm among insurance brokers
Insurance brokers warn that Irdai's plan to limit commissions may not lower premiums and could shrink rural coverage.
The insurance regulator Irdai has unveiled a proposal to cap broker commissions. Industry participants argue that reduced payouts might not translate into cheaper policies for consumers. Instead, they fear the measure could tighten service economics, spur market consolidation, and diminish access to insurance in less-populated areas.
Why it matters
The commission cap could reshape how insurance is sold, affecting costs and coverage for consumers, especially in rural areas.
In this story
commission capinsurance distributionbroker concernspremium pricingrural coveragemarket consolidation
