Banks’ ₹25,000-crore insurance gravy train faces RBI reality check

MUMBAI : The banking regulator’s proposed framework to encourage responsible selling of financial products will likely dent banks’ earnings from insurance policy sales, which generate about ₹25,000 crore annually for the industry. On 11 February, the Reserve Bank of India (RBI) released draft guidelines targeting mis-selling, bundled sales, and even “dark patterns" in banking apps, redrawing the boundaries of how banks sell such products. The norms will be applicable from July. “The responsibility on banks ...