If the business will carry on the regulated activity of a non-life insurance broker in Bangladesh, it should expect to need a licence from IDRA under the Insurance Act 2010 framework. The harder question is often whether the proposed activity is broking at all. Advising a client on its insurance needs, approaching insurers on its behalf and negotiating terms usually point towards broking. Purely technical, actuarial or software services may not. We analyse the actual business model and advise whether a licence is required, which category applies and what alternatives exist if licensing is not practical or timely.

Foreign participation in Bangladeshi businesses is generally permitted, subject to sector rules, Invest Bangladesh registration and Bangladesh Bank requirements for inward investment and repatriation. For an insurance broker, IDRA's requirements on ownership, management and fitness also apply, and the regulator may look closely at the foreign shareholder's own regulatory standing. We review the current position on foreign shareholding for this sector, advise on whether a wholly owned company, joint venture or minority investment is the better route, and help structure the shareholders' agreement carefully so that regulatory approvals and control rights fit together. We also review exit routes.

The exact list depends on the regulations and directives in force when the application is made, which we confirm at the outset. In general terms, the regulator expects a properly constituted company with adequate capital, directors and senior staff who are fit and proper and suitably qualified, professional indemnity cover, sound internal controls and a credible business plan. It is also likely to examine ownership links with insurers and how client money will be handled. A complete, consistent and well-explained file is the best way to avoid repeated requests for information and long delays in practice.

An agent is appointed by and acts for an insurer, and its remuneration comes from that insurer. A broker acts for the client, compares the market and negotiates terms on the client's behalf. That difference affects duties, conflicts and liability. Agents and brokers are also licensed separately under the Bangladeshi framework, and recent IDRA steps on agent commission in the non-life sector have changed the economics of distribution. A business must therefore be clear about which role it plays, because acting as both for the same transaction can raise serious conflict of interest concerns for the insurance broker.

There are several possible routes. A global broker may work with a licensed Bangladeshi insurance broker as its local correspondent, invest in a local intermediary, or establish and license its own company. The local policy is usually issued by a Bangladeshi insurer, which may then reinsure into the global programme. The right route depends on the client's needs, the volume of business, regulatory requirements and fee flows. We advise on the options for each programme and on the documents needed to allocate responsibilities clearly between the global broker, the local insurance broker and the insurers involved.

That depends on what the platform does. A site that simply displays information may not need a licence, but one that advises customers, recommends products, collects premium or negotiates with insurers is likely to engage regulated intermediary rules. Platforms can also act as agents for an insurer under a separate arrangement. Data protection obligations under the Personal Data Protection Act 2026 and payment rules may also apply. We review the customer journey, contracts and revenue model and advise whether an insurance broker licence, an agency arrangement or another structure is needed before launch.

A licensed broker must maintain the conditions on which it was licensed, including capital, qualified staff, professional indemnity cover and proper records. It must renew the licence on time, notify or seek approval for specified changes, file returns and respond to IDRA inspections and queries. Anti-money laundering obligations and client money rules require effective internal procedures. Failure to comply can lead to penalties, suspension or cancellation. We prepare a practical compliance calendar and manual so the insurance broker can track recurring obligations and change events without relying on memory or individual staff. We can review it each year.

First, we find out why. Many delays result from incomplete documents, unclear ownership or questions about directors, and these can often be resolved by a focused response or meeting with the regulator. If an application is refused, we review the decision, the reasons given and the applicable rules, and advise on a fresh application, a request for reconsideration or, where the decision appears unlawful or unreasonable, judicial review through a writ petition in the High Court Division. Litigation is normally a last resort, as a constructive regulatory relationship has long-term value for any broker.