From The Economic Times · Shilpy Sinha · · 50s
Banks Assess Insurance Commission Curbs Impact
Banks face 33% drop in bancassurance fees under new insurance commission rules.
In brief
Banks face 33% drop in bancassurance fees under new insurance commission rules. Banks expect 33% fall in insurance commission fees after Irdai's proposed changes to reduce distribution costs. Originally reported by The Economic Times.
Insurance Commission Changes
Banks are assessing the impact of proposed insurance commission curbs to reduce distribution costs.
Central Bank of India Impact
Central Bank expects 33% drop in bancassurance fees from ₹76 crore to ₹49 crore.
Canara Bank's Forecast
Canara Bank estimates ₹145-crore hit to fee income from insurance commission changes.
Axis Bank Strategy
Axis Bank plans to offset losses through higher sales volumes and alternative fee income sources.
HDFC Bank Stance
HDFC Bank says it is too early to assess the full impact of insurance commission changes.
The main idea
Banks expect 33% fall in insurance commission fees after Irdai's proposed changes to reduce distribution costs.
