Insurance Regulatory and Development Authority of India (IRDAI) in an exposure draft on remuneration for insurance agents and intermediaries has proposed higher commission for agents in the first year as also subsequent years to incentivise these distributors. Further, it has also said that insurance companies can give rewards over and above commissions.
Data shows that the public sector insurer Life Insurance Corporation of India (LIC) saw 1,02,044 agents exit in FY16. Private life insurers, on the other hand, made an addition of 50,766 agents in the last financial year.
| Life insurance agents: On a downward trail | ||||
| Insurer | Number of agents as on April 1, 2015 | Additions up to March 2016 | Deletions up to March 2016 | Net number of agents as on March 31, 2016 |
| Private life insurers | 9,04,231 | 3,45,715 | 2,94,949 | 9,54,997 |
| LIC | 11,63,604 | 3,19,428 | 4,21,472 | 10,61,560 |
| Grand total | 20,67,835 | 6,65,143 | 7,16,421 | 20,16,557 |
| Source: Life Insurance Council | ||||
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 →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
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
)