Commission for agents cannot exceed 15% in non life insurance

Under pressure from the Bangladeshi Insurance Association (BIA) which gathers 60 life and non-life insurers, the regulatory authorities set the commission rate disbursed for agents at a maximum of 15%. This decision came into force as of March 1, 2012. The state owned company, Sadharan Bima, is ruled out of this system of agent remuneration. Before this law came into effect, competition between insurers made commission rates increase up to 80%.