Coverfox MD Sanjib Jha Questions IRDAI’s Insurance Reset, Flags Risk To Rural Penetration

In a pushback to the IRDAI’s proposed overhaul of the insurance distribution industry, Accel-backed insurtech startup Coverfox’s founder Sanjib Jha has written to the agency questioning whether sharply lower commissions could undermine insurance penetration. In a letter to the IRDAI, Jha argued that the proposed 2% remuneration cap for loan-linked protection products could make it difficult for lenders to continue distributing insurance to rural and low-income borrowers.