The meeting comes at a time when commission payouts have started to outpace premium growth, drawing the regulator’s attention.
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Insurance CEOs will be meeting Insurance Regulatory Development Authority of India (IRDAI) Chairman on Tuesday (Februray 10) to discuss commission regulations, amid growing concerns over rising distribution costs and increased regulatory scrutiny, according to people familiar with the discussions.
The meeting comes as commission payouts in the industry have started to outpace premium growth, drawing attention from the regulator.
First-year and acquisition commissions have risen sharply, with industry-wide payouts exceeding ₹60,800 crore in life insurance and more than ₹47,000 crore in general insurance in FY25, according to the latest IRDAI report.
These trends have contributed to multiple insurers breaching prescribed expense of management (EoM) limits, which cover commissions and other operating costs.
Industry executives say that higher commissions a