IRDAI proposes clawback of commissions in case of mis-selling

The Insurance Regulatory and Development Authority of India (IRDAI) has proposed a new framework to address mis-selling in the insurance industry. This framework would allow distributors to be rewarded for good sales and servicing practices, but would also penalize them by clawing back commissions in cases where customers are mis-sold policies. This move aims to increase accountability among individual sales staff and provide transparency to consumers.

Why it matters

The proposed framework aims to improve the quality of sales and servicing in the insurance industry. This could lead to increased transparency and accountability among distributors.

Market impact

Transmission channels

Likely winners & losers

Explore the intelligence

MeridStreet does not reproduce source articles. The summary and analysis above are generated by MeridStreet from public headlines and its own market model; the original reporting belongs to Economic Times. For information only — not financial advice.