Irdai asks insurers to cap bonuses of top executives, link variable pay to performance – Times Now
The Insurance Regulatory and Development Authority of India (Irdai) has asked insurance companies in India to link variable pay of top executives like CEOs, managing directors and executive directors with their performance vis-a-vis that of the industry. The insurance regulator has also instructed insurers to fix an upper cap for bonuses paid to top executives so that the board don’t give hefty bonuses to these executives, the Economic Times reported.
Irdai has sent a detailed note on how to compute bonuses and what factors need to be taken in before finalising the pay outs. The regulator will not entertain requests for revision of remuneration or any of the fixed pay and variable components after the end of the year, the person told ET.