plans that provide insurance not only against death but also critical illness and disability mr rao also added that the ceiling should be an overall one and there should be no sublimits for fund management charges as proposed by the regulator most insurance companies are not willing to speak openly about the negative impact of the new irda norm on their companies but most ceos privately admit that they fear growth will take a hit as distribution fees to agents will have to be reduced insurers say these guidelines will be more disruptive than irdas last major overhaul a couple of years ago when it banned shortterm ulips some of them point out that there could be circumstances not envisaged in the regulations one possibility is that the policyholder may decide to terminate a policy early for whatever reason there is also a fear that unscrupulous agents may advise their clients to allow their existing policies to lapse on grounds that newer policies have lower charges and will generate better returns