Insurers seek scale-based rules in Irdai consultation feedback
In short
Smaller and newer insurers asked Irdai for rules that match a company’s size and scale. They said uniform expense caps could slow growth and make distribution harder.
This matters because the rules could affect how insurers spend, grow, and sell policies. The report does not say whether Irdai will change the draft rules or when a final decision may come.
What the reporting says
Smaller and newer insurers urged scale-based regulation in feedback to Irdai’s consultation paper, warning that uniform expense caps could limit growth and distribution, according to the summary. The request is for more flexibility based on company size and scale. What is still unknown is whether Irdai will change the proposed caps or when any final rule may be issued.
Why it matters
Smaller and newer insurers pushed for scale-based regulation in response to Irdai’s consultation paper, according to the summary. Their concern is that uniform expense caps could constrain growth and distribution. The reporting points to a regulatory feedback process, but it does not state Irdai’s response or any final decision on the proposed framework.