The scope and reach of the insurance ombudsman to address grievances of policyholders could widen as the insured subscriber base in the country grows.
The insurance industry regulator IRDAI has already announced Bima Sugam — an online platform, in the likes of Amazon, for selling, servicing, and settling claims with an aim to provide a plug-and-play solution with an API interface for all insurance companies. It is expected to be operational soon. A platform for grievance redressal is also being set up.
The regulator is also exploring the integration of ombudsman services, which has already introduced online grievance submission during the Covid pandemic.
At present, policyholders can approach the insurance ombudsman for claims up to Rs 30 lakh if the insurer does not respond to the complaint within a specific time period. An increase of this threshold along with increasing the ombudsman services to small and medium enterprises is also under discussion.
The regulator may also explore whether there can be additional ombudsman offices in more states but in a cost-effective manner as the insurance penetration improves.
“We are trying to bring in a complaint redressal mechanism which you will come to know very soon. This will be a modern technology-driven facility where people can immediately complain and it will get passed on to the insurance companies. The key thing is that people must give their feedback immediately,” said Bejon Kumar Misra, advisory committee member of the IRDAI in Calcutta on the occasion of Bima Lokpal Day.
At present, there are 17 offices of insurance ombudsman in the country including Calcutta. The Calcutta office had recorded a total of 3,224 complaints in 2021-22 of which 2,935 complaints were disposed during the year. Nationally, there were a total of 45,370 complaints in 2021-22, of which 40,527 complaints were disposed off.
Kiran Sahdev, insurance ombudsman, Calcutta said that the online registration of complaints has already been introduced where a policyholder can register their complaint from anywhere and need not visit the office of the insurance ombudsman. Individuals can register and track their complaints at www.cioins.co.in.
