Shriram General bets on agents, vehicle makers despite proposed Irdai commission curbs
Executive Brief • Key Highlights
Fast factual intelligence distilled for busy investors, executives, and answer bots:
- ✓Shriram General Insurance plans to add 10,500 financial advisors and expand partnerships with vehicle makers in H2 FY27.
- ✓The insurer is betting on these channels despite proposed Irdai commission caps.
- ✓Managing director Anil Aggarwal said, "We will follow the regulation," noting that every vehicle still has to be insured.
Story at a Glance
- Category
- Indian Markets
- Reported By
- mint
- Reading Speed
- 4 Minute(s)
- Market Focus
- India Economy
Summary
The insurer plans to add 10,500 financial advisors and expand partnerships with vehicle makers in H2 FY27, even as proposed commission caps threaten to reshape the economics of both channels.
MUMBAI: Shriram General Insurance plans to add 10,500 financial advisors and secure one or two more vehicle maker partnerships in the second half of fiscal year 2027 (FY27), betting on two growth channels even as proposed regulatory curbs threaten to alter their economics. The insurer clocked 21% total premium growth in the first half.
The Insurance Regulatory and Development Authority of India's (Irdai) September consultation paper proposes zero commission for distribution entities and a 2.5% cap for agents on mandatory third-party cover for new vehicles. For own-damage cover, it proposes caps of 5% for distribution entities and 10% for agents. The changes would limit what insurers can pay to win business through vehicle makers and dealers. Irdai also proposes cutting general insurers' expenses of management (EoM) limit from 30% to 25% within two years and to 20% within five.
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