1. Section 41 of the Insurance Act 1938 provides as follows: No person shall allow, or offer to
allow, either directly or indirectly as an inducement to any person to take out or renew or
continue an insurance in respect of any kind of risk relating to lives or property in India, any
rebate of the whole or part of the commission payable or any rebate of the premium shown on the
policy nor shall any person taking out or renewing or continuing a policy accept any rebate
except such rebate as may be allowed in accordance with the published prospectus or tables of
the Insurer.
2. Any person making default in complying with provision of this section shall be punishable with
fine which may extend to five hundred rupees.