The Bangladesh Insurance Development and Regulatory Authority (IDRA) has issued a comprehensive new directive aimed at enhancing administrative transparency, discipline, and professionalism within the country’s insurance sector. Officially published in an extraordinary edition of the Bangladesh Gazette on Wednesday, 21 January 2026, the directive retroactively took effect from 7 January 2026.
The regulation, formally titled “Insurance Company Advisor Appointment (Qualification and Experience) Rules, 2026”, has been framed under Sections 148 and 81 of the Insurance Act, 2010, and with the approval of the Government of Bangladesh. Industry experts have noted that it is expected to remove longstanding ambiguities surrounding advisor appointments while ensuring consistent professional standards across the sector.
Table of Contents
Eligibility and Required Experience
Under the new rules, only candidates meeting the specified qualifications and experience criteria may be appointed as advisors, and approval from IDRA is mandatory. Eligible candidates may come from diverse professional backgrounds, provided they satisfy the stipulated requirements.
| Qualification/Background | Minimum Experience Required |
|---|---|
| Experience as CEO or equivalent senior role | 3 years |
| Internationally recognised insurance or actuarial certification | 3 years |
| Bangladesh Insurance Academy certification | 6 years |
| Accounting or finance professional certification | 6 years |
| Retired senior government policy-level officer | As determined |
| University professor in relevant discipline | Extensive experience |
| Senior management responsibility within a company | 6 years |
Senior management roles qualifying under this rule include CEO, Managing Director, Additional/Deputy Managing Director, CFO, Company Secretary, Chief Investment Officer, Chief Risk Officer, and Head of Internal Audit & Compliance.
Disqualifications
Certain individuals are barred from advisor appointments. These include close relatives of founders or directors, creditors, bankrupt individuals, those convicted of ethical or financial offences, persons accused under money laundering regulations, and current directors of banks, insurance, or financial institutions.
Appointment Process and Tenure
Insurance companies must submit a justification for appointment, draft contracts, CVs, and relevant educational and professional certificates to IDRA. Advisor contracts are capped at three years, with a maximum age limit of 76 years. These positions do not constitute permanent employment within the company.
Remuneration and Contract Termination
Compensation and benefits are to be determined by the company board but may not exceed the CEO’s salary. Contracts are fixed for their tenure, though either party may terminate with one month’s notice, subject to settlement of all financial obligations.
Experts assert that these rules will professionalise advisor appointments, strengthen regulatory oversight, and, in the long term, enhance both consumer protection and the stability of the Bangladeshi insurance sector.