 "Irda levies penalty of Rs 10 lakh on Max Life Insurance")
The Insurance Regulatory and Development Authority (Irda) has imposed Rs 10 lakh penalty on Max Life Insurance Company for violating norms on commissions.
The company paid more commissions than was permitted under the existing norms to Barclays Investments and Loans (India) in two financial years.
A penalty of Rs 5 lakh was imposed on the company for each financial year, according to an order issued by the regulator.
"On review of the returns filed with the Authority on August 4, 2010, with respect to financial year 2009-10, it was observed that the insurer has paid other payouts apart from permissible commission to corporate agent -- Barclays Investments and Loans (India) -- in the form of infrastructure facilities availed in the premises of the corporate agent in violations of the guidelines," says the Irda order.
The company paid more commissions than was permitted under the existing norms to Barclays Investments and Loans (India) in two financial years.
A penalty of Rs 5 lakh was imposed on the company for each financial year, according to an order issued by the regulator.
"On review of the returns filed with the Authority on August 4, 2010, with respect to financial year 2009-10, it was observed that the insurer has paid other payouts apart from permissible commission to corporate agent -- Barclays Investments and Loans (India) -- in the form of infrastructure facilities availed in the premises of the corporate agent in violations of the guidelines," says the Irda order.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%