The Bangladesh Insurance Association (BIA) has formally petitioned the Insurance Development and Regulatory Authority (IDRA) to waive the remaining licence renewal fees for both life and non-life insurance companies for the 2026 calendar year. This move comes as the industry seeks fiscal breathing room amidst a shifting regulatory and economic landscape.
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A Formal Appeal for Regulatory Relief
In a letter dispatched on Sunday, 8 March 2026, BIA Vice-President Adiba Rahman urged the IDRA Chairman to exercise administrative discretion regarding the collection of outstanding fees. The correspondence referenced two prior memorandums issued by the regulator, highlighting a perceived need for a temporary reprieve from the standard financial obligations governing the sector.
According to the Insurance Act 2010, specifically Section 11(2), every insurer must submit an application for the renewal of their registration by 30 November of the preceding year. This application must be accompanied by the prescribed fees. Section 11(3) further dictates that the authority shall only renew the licence upon receipt of both the formal application and the full payment.
Compliance and Challenges
The BIA confirmed that, in strict adherence to these statutory requirements, all domestic insurance firms had already deposited their initial registration fees for 2026 by the 30 November 2025 deadline. However, following a high-level meeting between a BIA delegation and the IDRA Chairman on 1 March 2026, the association argued that the “remaining” portion of these fees represents a significant liquidity burden.
The association has suggested that if legislative barriers prevent an immediate waiver, the government should consider an official Gazette notification to amend the current fee structure or provide a one-time exemption.
Summary of Licensing Requirements under the Insurance Act
The following table outlines the current statutory timeline and requirements for insurers operating in Bangladesh:
| Statutory Provision | Requirement | Deadline/Condition |
| Section 11(2) | Submission of Renewal Application | By 30 November of the preceding year. |
| Section 11(2) | Payment of Prescribed Fees | Must accompany the renewal application. |
| Section 11(3) | Issuance of Renewal | Contingent on fee receipt and compliance. |
| 2026 Cycle | Initial Deposit Completed | 30 November 2025 (as reported by BIA). |
Industry Implications
The insurance sector in Bangladesh is currently navigating a period of modernisation, with IDRA pushing for increased transparency and digital integration. However, the BIA contends that the cumulative weight of licensing fees, combined with operational overheads, may stifle the growth of smaller firms. By seeking this waiver, the association aims to preserve capital that could otherwise be diverted toward expanding insurance penetration—which remains historically low in the region.
As of now, IDRA has not issued a public response to the BIA’s request. Should the waiver be granted, it would mark a significant victory for the association and potentially set a precedent for future regulatory concessions.