The Insurance Development and Regulatory Authority (IDRA) has imposed a fine of Tk 55 lakh on 13 non-life insurance companies in 2023 for exceeding the permitted management expenses.

The regulatory action aims to enforce financial discipline in the sector and ensure compliance with expense limits set under insurance regulations.

Among them, Meghna Insurance Company, Desh General Insurance Company, Bangladesh Co-operative Insurance, Bangladesh General Insurance Company, Takaful Islami Insurance, Global Insurance, and Islami Commercial Insurance were each fined Tk 5 lakh.

Additionally, Standard Insurance, Republic Insurance, People's Insurance, Express Insurance, and Eastern Insurance were each fined Tk 3 lakh, according to IDRA documents.

Nineteen insurance companies violated the provisions of management expense limits in 2023, Md Solaiman, deputy director of the non-life department and acting spokesperson of the IDRA, told The Daily Star.

Among them, eight companies had excess expenses exceeding 20 percent, and each was fined Tk 5 lakh.

Additionally, five companies had excess management expenses below 20 percent, and each was fined Tk 3 lakh, he added.

Moreover, six non-life insurance companies had excess management expenses of less than 5 percent.

These companies were given warnings to ensure they do not exceed management expense limits in the future, he informed.