Insurance regulator Irdai has imposed Rs 15 lakh fine on DHFL Pramerica Life Insurance Company for the violation of guidelines on outsourcing norms for corporate agents licensing.
Insurance Regulatory and Development Authority of India (Irdai) said the company entered into outsourcing agreement with entities owned or related to individual agents and extra payouts were done under this guise.
"From the data and agreements available on record, it can be safely construed that the extra payouts were channelised under the guise of the service level agreements. The Authority as per the powers vested...levies a penalty of Rs 5,00,000 for the violation," Irdai said in its order.
