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According to IRDAI annual report 2023, the life insurance companies paid a total commission of Rs 42,322 crore during FY 2022-23. The commission expenses slightly increased to 5.41% in FY 2022-23 from 5.18% in FY 2021-22. The ratio of first-year commission to premium received in private sector companies grew from 10.94% in 2021-22 to 15.78% in FY 2022-23 - an increase of almost 5%. There was a very low growth in the public sector company's first-year commission increased from 26.55% to 27.61% - a hike of approximately 1% only.
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