1 year ago
Irdai Proposes Internal Ombudsman for Insurance Complaints
Imagine you have a problem with your insurance company, and they can't solve it.
The Irdai, which makes rules for insurance, wants to create a special person, called an ombudsman, inside each insurance company to help solve these problems.
This person can help with complaints about claims up to Rs 50 lakh.
To be an ombudsman, you need to have worked in insurance for a long time and be fair.
If you're not happy with the ombudsman's decision, you can still ask for help from the insurance ombudsman.
These new rules should start helping people soon.
Irdai proposes an internal insurance ombudsman for insurance companies with over three years of operation.
The ombudsman will address unresolved complaints.
Complaints for claims up to Rs 50 lakh will be heard by the ombudsman.
The proposed guidelines aim for effective and speedy resolution of grievances.
The guidelines are expected to be applicable within three months after issuance.
- Who
- The Insurance Regulatory & Development Authority of India (Irdai) and insurance companies are involved.
- What
- Irdai proposed setting up an internal insurance ombudsman to address unresolved complaints.
- Where
- India
- When
- The proposal was made on Wednesday, and the guidelines will be applicable within three months after issuance.
- Why
- To facilitate effective and speedy resolution of grievances and to improve complaint management.
Key facts
- Regulatory Body
- Irdai
- Applicable Insurers
- Insurers with over three years of operation (except reinsurers)
- Complaint Limit
- Up to Rs 50 lakh
- Ombudsman Qualifications
- At least 20 years in the insurance industry
- Ombudsman Term
- Fixed term of three years or until age 70
- Reporting Structure
- Reports to MD/CEO administratively and Board/PPGR&CM Committee functionally
- Appeal Process
- Appeal to the insurance ombudsman within 30 days
- Implementation
- Within three months of issuance
Sources
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