The Bangladesh Securities and Exchange Commission (BSEC) has recently expressed deep concern over the audit reports of financial statements for the 2024 fiscal year submitted by 27 listed insurance companies. The regulator emphasised that these audit observations could have significant implications for investor confidence, policyholder protection, and overall market transparency.
BSEC’s Corporate Reporting Department stated that following a thorough review of the audits, it has formally requested the Insurance Development and Regulatory Authority (IDRA) to take appropriate regulatory measures in accordance with existing provisions. The review revealed that the auditors of the concerned companies had issued a range of non-standard opinions, including adverse opinions, qualified opinions, emphasis of matter paragraphs, going concern warnings, and conclusions reflecting material uncertainties.
The commission highlighted that such audit reports are not merely routine observations but are indicative of elevated risks related to a company’s financial reporting, governance, and risk management practices. Of particular concern are observations regarding going concern and material uncertainty, which directly question a company’s ability to continue operations and fulfil obligations to policyholders and creditors.
The 27 insurance firms under review span both life and non-life sectors, including prominent names such as Asia Insurance, Asia Pacific General Insurance, Bangladesh General Insurance, Central Insurance, Continental Insurance, Desh General Insurance, Dhaka Insurance, Eastern Insurance, Federal Insurance, Green Delta Insurance, Islami Commercial Insurance, Islami Insurance Bangladesh, Janata Insurance, Meghna Insurance, Northern Islami Insurance, Paramount Insurance, Phoenix Insurance, Prime Insurance, Republic Insurance, Rupali Insurance, Sonar Bangla Insurance, Sikder Insurance, Standard Insurance, Union Insurance, Delta Life Insurance, Popular Life Insurance, and Sun Life Insurance.
BSEC has urged IDRA to review these audit reports carefully and, where necessary, implement stronger supervisory actions, including special or forensic audits and corrective action plans. Currently, Bangladesh has 82 insurance companies, of which 58 are listed on the local stock exchanges. Industry experts suggest that the coordinated regulatory measures taken by BSEC and IDRA will significantly influence both domestic and regional investors’ perceptions of governance, risk management, and regulatory competence in the country’s insurance sector.
Market forecasts indicate that total gross premiums in Bangladesh could reach approximately USD 15.56 billion in 2025, with life insurance contributing around USD 9.48 billion. Over the period 2025–2029, the sector is projected to grow at an annual compounded rate of roughly 4.02%, potentially reaching USD 18.22 billion by the end of the forecast period.