Who pays for the sale?
One new rule-buyer question entered the public record this week: who earns from selling insurance, and how much should that cost the policyholder? The consultation ledger records IRDAI’s two-part public consultation, Reforms for Recalibrating Economics of Insurance Distribution, as opened on 23 September; contemporaneous coverage corroborates the date. IRDAI hosts Part 1 and Part 2.
The package proposes simplifying distribution structures, revising the Expenses of Management and commission frameworks, clearer price-and-quality disclosures, safeguards against compulsory insurance bundling with credit, and a digital, pull-based distribution alternative. These are proposals, not rules. IRDAI invites feedback through 25 October 2026, by web form, Excel upload or email.1
For policyholders, distribution economics is not a back-office concern. The proposals could affect what gets sold, how buyers compare products and whether the cost of intermediation is visible. The test is whether final rules improve choice and curb mis-selling—not merely shift payments between channels. That is analysis, not a claim that any one industry comment caused a regulatory decision. The consumer test should compare the premium paid, cover received and distributor remuneration together—not treat a lower commission cap as proof of a better deal.
The transparency gap is already clear. LobbyWatch’s consultation ledger records comment-publication status as unknown. A submission route is not a promise that submissions or the regulator’s response will be published.
The other ledgers show no comparable movement this week: the doors register has no new move dated 21–28 September, and the RTI log contains two template-ready requests, not filed requests. Next watch: who comments, whether those comments become public, and whether the final rules deliver policyholder-facing transparency.