From April, insurance agents will get higher commission for selling life and non-life insurance policies. Insurance Regulatory and Development Authority of India (Irdai) has issued a notification setting the new rate of commissions to be paid to insurance intermediaries.
The insurance intermediaries include corporate agents, insurance brokers, web aggregators and insurance marketing firms. If the policy is procured directly by an insurer, then no commission or remuneration will be paid to an insurance agent. Moreover, no insurer will pay both commission to an insurance agent and remuneration to an insurance intermediary on the same insurance policy. The regulations on new commissions will not be applicable on micro insurance policies.
