The Insurance Development and Regulatory Authority has fined five insurance companies Tk 4.50 lakh and warned three others due to their violation of different insurance rules, an IDRA release said. Of the companies, Padma Islami Life Insurance, Mercantile Insurance, Global Insurance, Standard Insurance and Eastern Insurance have been fined while Provati Insurance, Janata Insurance and Union Insurance have been warned.
After conducting hearings on Sunday and Monday, the insurance regulator made the decisions. IDRA acting chairman Fazlul Karim and member Kuddus Khan along with officials concerned conducted the hearing.
On charge of conducting registration without receiving money, the IDRA fined Eastern Insurance Tk 50,000, Standard
Insurance Tk 1.5 lakh, Mercantile Insurance Tk 50,000 and Global Insurance Tk 1 lakh.
The insurance regulator fined Padma Islami Life Insurance Tk 1 lakh as an IDRA inspection team found evidences of paying commission to its (Padma Islami Life Insurance) agents in cash which is a violation of an IDRA directive.
The insurance regulator warned Provati Insurance, Janata Insurance and Union Insurance as the IDRA inspection teams found irregularities in their different branches.
-With New Age input
