Mis-selling Complaints Rise Against Life Insurers In FY25
Out of the total grievances reported under Life insurance business on Bima Bharosa portal for FY 2024-25, close to 64 per cent were related to Survival claims, Policy servicing and Unfair business practices said the report
Mumbai: Even as the total number of grievances registered against life insurers remained flat to 1.20 lakh in 2024-25 compared to the previous year, the total number of grievances related to mis-selling of insurance policies have increased from 23,335 in 2023-24 to 26,667 in 2024-25 according to the IRDAI Annual Report released on Tuesday.
The regulator said that its Bima Bharosa portal (a single window to file, monitor and escalate complaints) received a total of 2.57 lakh grievances during 2024-25, out of which 1.20 lakh were related to life insurance business and 1.37 lakh were related to general and health insurance business.
Out of the total grievances reported under Life insurance business on Bima Bharosa portal for FY 2024-25, close to 64 per cent were related to Survival claims, Policy servicing and Unfair business practices said the report.
“Mis-selling in the Indian insurance sector is a significant concern that involves the sale of insurance products to consumers without proper disclosure of terms, conditions or suitability. Insurers are encouraged to tackle the problem of mis-selling by conducting a root cause analysis to identify the underlying causes," said the IRDAI Annual Report 2024-2025.