During the Foundation Day event of the Insurance Brokers Association of India (IBAI), IRDAI Member (Distribution) Satyajit Tripathy tackled an important issue regarding how improved grievance redressal can enhance insurance penetration in India. Tripathy highlighted that trust is fundamental to the insurance industry. He cautioned that if the existing trust gap continues to widen, the desire for greater insurance penetration and expanded accessibility will remain an unattainable aspiration. “Complaints should be resolved swiftly and within a specified timeframe, ensuring that the policyholder receives clear information,” he stated. He emphasized that this is especially important in health insurance, which he claims represents the bulk of complaints in the sector. Tripathy also detailed IRDAI’s recent draft proposal suggesting the appointment of Internal Ombudsmen within insurance firms. He stated that the action is in reaction to the increasing frequency of policyholder grievances, typically stemming from claim denials for what he described as “trivial reasons.” Previously, IRDAI stated, “To address the increasing expectations of policyholders, it is believed that, alongside the current grievance redressal measures, a separate, improved review system should be established to ensure that all legitimate complaints receive appropriate attention.”
