IRDAI chief slams dynamic pricing and high commissions
In short
IRDAI chief Ajay Seth criticised dynamic pricing in insurance and said high commissions can leave less money in the risk pool. The comment was reported by Economic Times Banking Finance. It also said the regulator is trying to build consensus, but no decision or action was reported.
This matters because it could affect premiums and how digital platforms sell insurance. What the regulator may do next is still not stated.
What the reporting says
IRDAI chief Ajay Seth criticised dynamic pricing and high commissions in insurance, saying the approach leaves less money in the risk pool and can push up premiums. The remarks were reported by Economic Times Banking Finance and framed as a regulator warning to digital platforms and insurers. The immediate outcome is not stated, and no policy change or enforcement action was reported in the available summary.
Why it matters
Ajay Seth, the IRDAI chief, criticised dynamic pricing and high commissions in insurance in a reported remark aimed at digital platforms and insurers. The summary says such payouts can erode value by leaving less in the risk pool and lifting premiums. The reporting also says the regulator is trying to build consensus. No rule change, enforcement step, or affected company was named.