Initially all agents were under controller of insurance till 2001.IRDA came into formation to enhance the companies and the agents.Today agents are suffering as IRDA has reduce commission from 35% to 1% in ULIP.The chairman T S VIJAYAN did not see that those who are literally on insurance would have to sacrifice their life for want of money.
An agent brings ten lac rupees business for a five year tern he gets 1% ie 10000.but those who do small premium in a month with business not more than 25000 at times for a month would getjust Rs.250-/-.due yo which even banks like AXIS which had opened zero balance account for Bajaj agents.Have increase their AVB to 5000 per month. So an agent has to bring in more business minimum to survive his living above 5lacs to gain 5000 commission so that the bank does not deduct Rs.250 per month for not maintaining balance. So here the agent is suffering due to one IRDAs rule.
I really feel that Mr.Rao should come back as chairman like T S VIJAYAN has done nothing for protecting the individual agents. IRDA Should have taken agents on their committee to decide commission, loading etc. As IRDA has done everything for corporates it has even formed a committee which has all chairpersons of insurance companies to decide the faith of agents.ultimately millions of agents have even got terminated, some have ended up living, all thanks toTHE IRDA CHAIRMAN