PB Fintech shares fall 5% as insurance bill proposes to cap agent commissions

PB Fintech share price

The shares of Policybazaar-parent PB Fintech fell more than 5 percent on December 16 after the new insurance amendment bill introduced in the Lok Sabha today proposed to let IRDAI specify the limits of commission payable to an insurance agent.

The shares of the company closed at Rs 1,821.90 apiece on Tuesday. Earlier during the day, the shares of the company dropped 6 percent to Rs 1,811 apiece, before making slight recovery.

Here's what insurance reforms bill proposes:

Finance Minister Nirmala Sitharaman on December 16 introduced a bill in Lok Sabha to raise FDI in the insurance sector to 100 percent, with a view to providing insurance to all by 2047.

The Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025, seeks to amend the Insurance Act, 1938, the Life Insurance Corporation Act, 1956, and the Insurance Regulatory and Development Authority Act, 1999, according to the Bill circulated to members of Parliament ahead of its introduction in Parliament.

Last week, the Union Cabinet, chaired by Prime Minister Narendra Modi, cleared the Bill for introduction in Parliament during the Winter Session. The amendment is aimed at attracting stable long-term investment, facilitating technology transfer, and helping deepen insurance penetration in line with the government’s goal of 'Insurance for All' by 2047.

The bill also proposes to include a section to the Insurance Act, 1938, to allow the Insurance Regulatory and Development Authority of India (IRDAI) to set the limits to any commission or reward received by the insurance agents. "Without prejudice to anything contained in this section, the Authority may in the interest of the policyholders, specify by the regulations, the limits of any commission, remuneration or reward in any form payable to an insurance agent or an insurance intermediary, the manner of such payment, the manner of disclosures required and such other matters related to insurance agents or insurance intermediaries as may be necessary," the bill reads.

PB Fintech share price history:

PB Fintech shares have fallen more than 6 percent in the past five days, and over 4 percent in the past one month. The stock is down around 14 percent in 2025 so far.

It has a P/E ratio of more than 236.

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