Studies have shown that bank executives and insurers continue to cheat and mis-sell insurance products. Many bank executives do not understand insurance, yet continue to sell life insurance plans to pocket high commissions.
A common way bank executives and insurers cheat you, is they don’t mention the free look period. You can return a life insurance plan if you are not satisfied with the terms and conditions, within 15 days of receiving policy documents. Insurance agents neglect to mention this and cheat and mis-sell insurance plans.
IndianMoney advises you to understand free look period, before availing life insurance plans. Want to know more on term life insurance plans? We at IndianMoney.com will make it easy for you. Just give us a missed call on 022 6181 6111 to explore our unique Free Advisory Service. IndianMoney.com is not a seller of any financial products. We only provide FREE financial advice/education to ensure that you are not misguided while buying any kind of financial products.
Post Complaints On IndianMoney If You Are Cheated By Insurers
How insurance agents cheat you?
- They advise not to tick smoker or drinker in the insurance proposal form to save on premiums.
- They push endowment plans and ULIPs which have high premiums and low mortality, just to pocket commissions.
- They don’t tell you about term life insurance plans which are pure risk protection plans and have low premiums.
- They advise availing insurance for investments and tax saving without talking on risk protection.
- Insurance agent’s advice not to mention pre-existing diseases when availing health insurance plans.
- They advice surrendering endowment life insurance plans and pick up new insurance plans to get commissions called churning of plans.
- Insurance agents neglect to disclose important facts on insurance plans, leading to improper financial decision making.
SEE ALSO: Health Insurance Benefits
Easy ways to complain against insurer
- First write a written complaint against the insurance agent and send to insurer. Address complaint to insurer’s grievance redressal cell, collect an acknowledgement and wait for grievance resolution.
- The insurer must address your complaint within 15 days of receipt.
- If insurer doesn’t resolve complaint:
- Contact IRDA
- IGMS (Integrated Grievance Management System)
- Ombudsman or civil court.
SEE ALSO:Review Your Insurance Plans With IndianMoney
Common complaints against insurers:
- Bankers bundle insurance products with loans, cheating and forcing customers to avail these products. They are threatened that home loan will not be sanctioned, unless insurance products are availed.
- Banks force you to avail insurance plans before giving the locker facility.
- Banks cheat by issuing insurance policies in your name without consent and then say these policy documents were issued with incorrect contact details.
- Insurance agents mis-sell ULIPs to customers who don’t understand these products.
- Insurers promise high and guaranteed returns on insurance plans.
How to complain against insurer?
- If you are cheated by the insurer or insurance agents, lodge a complaint with the grievance redressal officer of the insurer by writing a complaint.
- If the grievance redressal officer doesn’t resolve the complaint in 15 days, approach the IRDAI.
- Contact Insurance Regulatory and Development Authority of India (IRDAI) grievance redressal cell at the toll-free number 155255 or 18004254732. Write a written complaint to [email protected]
- Send a complaint via email to Insurance Regulatory and Development Authority of India (IRDAI) grievance redressal cell at Gachibowli, Hyderabad, 500032.
- Register a complaint at the Integrated Grievance Management System, which is the IRDAI online portal. Register and monitor complaints at igms.irda.gov.in. Keep allotted token reference number handy.
What does IGMS do?
Your complaint is forwarded to the insurer to get a suitable response within a certain number of days (Stipulated time period).
If you are not satisfied with the response, escalate the complaint to the Insurance Ombudsman. It’s good to register complaint with IGMS to track the status and get it resolved. Keep a written acknowledgement of the registered complaint for future reference.
How to file complaint with insurance ombudsman?
- You must first file a complaint with the insurer and give the insurer’s grievance redressal cell at least 15 days, to look into the issue.
- If the issue is not resolved, lodge a complaint with insurance ombudsman, under whose jurisdiction, the office of the insurer falls.
- The insurance ombudsman is an independent office which offers speedy redressal of problems vis-à-vis insurance plans. Take a look at the insurance ombudsmen in India.
- Public insurers like LIC and Private insurers like HDFC Ergo, Bajaj Allianz, ICICI Lombard and IFFCO Tokio among others are covered by the insurance ombudsman.
- All kinds of insurance complaints pertaining to life insurance, health insurance, car insurance, house insurance can be lodged with insurance ombudsman.
- If complaint is with Consumer Forum, then you cannot lodge complaint with insurance ombudsman.
- Lodge complaint with Insurance Ombudsman in writing, duly supported with relevant documents. Insurance Ombudsman doesn’t charge fees to resolve complaints.
- Insurance Ombudsman conducts hearings of both insurer and aggrieved party and is known to give a fair hearing.
- If you are happy with the hearing, make it clear to the Insurance Ombudsman, who will communicate to the insurer, who has to comply in 15 days.
Iamcheated.com is a free online consumer complaints portal, which registers consumer complaints online and helps to resolve it. If you have been cheated by insurer or if you do not receive any response from them, you can post your complaint on Indianmoney.com complaints portal IamCheated.com.
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