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Life insurance cos asked to submit financial statement by Dec 30

DHAKA, - All life insurance companies have been asked to submit their financial statement for 2016 to Insurance Development and Regulatory Authority (IDRA) by January 30, 2017.

"We have asked them to submit the financial statement highlighting information on 17 financial transaction related issues. In case of failure,stern legal action will be taken against the companies concerned," an IDRA official.

Talking to BSS, IDRA member Kuddus Khan said life insurance companies will have to submit their financial statement by January 30. This step has been taken to protect the interest of clients and general investors as it will help bring transparency in the activities of insurance companies, he added.

As per the law, it is mandatory for life insurance companies to complete their financial statement by December 31 every year but the companies takes two or three months more to do it.

IDRA will hold separate meeting to discuss the financial statement of insurance company from February 1 to 5, 2017. Insurance companies will have to present report on businesses, commission, salaries of development officials, administration and other expenses, renewal premium, renewal commission, total management costs, investment, bank deposits, bank balance,cash balance, agent balance, renewal arrears, premium balance collection in hand, outstanding premium.

There are 33 life insurance companies in the country and of them, 12 are listed with stock market. The amount of life fund of the life insurance companies has stood at Tk 465.32 crore in 2015.

Source: Bangladesh Sangbad Sangstha (BSS)