Vehicle insurance to get cheaper: IRDAI moves to regulate commission

The Insurance Regulatory and Development Authority of India is taking steps to control the high commissions in the vehicle insurance sector which will reduce premiums.

Insurance Regulatory and Development Authority of India to reduce commissions.

High commissions paid by insurance companies to service providers increase premiums.

Insurance companies pay up to 57% commission for own damage cover.

Bima Sugam online portal under IRDAI will launch in April next year.

Vehicle owners can directly purchase policies without commission agents.

Unauthorized interventions by vehicle dealers in the insurance market will be controlled.

Dealers will be prevented from forcing vehicle owners to buy insurance from specific companies.