Economy, Business And Markets

Insurance Agents With Two Jobs Warned

Insurance Agents With Two Jobs Warned  Insurance Agents With Two Jobs Warned

The Central Insurance company of Iran has identified nearly 5,000 insurance agents who run a second business other than selling policies, a practice deemed illegal by the regulator. Insurance companies have been given a three-month ultimatum to sort out the issue.

As per law, insurance agents and brokers are not permitted to run any other business besides their main activity.  However, 16% of insurance agents seem to be ignoring the rule, IRNA reported Monday, citing official data.

The CII has published details about each company’s status vis-à-vis the one-job rule.  Arman Insurance Company tops the list of companies with the most violations with 47% of its agents having another job parallel to their insurance business.

Karafarin Insurance, affiliated to Karafarin Bank, and Saman Insurance, a subsidiary of Saman Bank, come next with 24% and 22% of their agents having two jobs.

According to the data, Sarmad Insurance agents are the most law-abiding with only 7% of them running two businesses. Sarmad Insurance Company is a subsidiary of the major state lender Bank Saderat.

The CII has also prepared a set of guidelines for insurance firms to rate their agents.

A total of 32,245 insurance agents are active in the country. Iran Insurance Company, as the only state-owned insurer, has 8,550 agents of which 1,187 are on the twin-job list.

Asia Insurance Company, with 2,636 agents, Pasargad Insurance, a subsidiary of Bank Pasargad, with 2,168 agents, Alborz Insurance, with 1,854 agents, Bank Parsian’s affiliate, Parsian Insurance, with 1,990 agents and Dana Insurance with 1,810 agents are the largest private insurers in the fast growing insurance industry.