Union Government amends Insurance Ombudsman Rules for better resolution of policyholders' complaints
Union Government has amended Insurance Ombudsman Rules for better resolution of policyholders’ complaints regarding insurance service deficiencies.
Union Government has amended Insurance Ombudsman Rules for better resolution of policyholders' complaints regarding insurance service deficiencies. It is also intended to improve the working of the Insurance Ombudsman mechanism and resolution of complaints in a timely, cost-effective and impartial manner.
The amended rules have enlarged the scope of complaints to Ombudsmen from only disputes earlier to deficiencies in service on the part of insurers, agents, brokers and other intermediaries. Further, insurance brokers have been brought within the ambit of the Ombudsman mechanism, by empowering the Ombudsmen to pass awards against insurance brokers as well.
Policyholders will now be enabled for making complaints electronically to the Ombudsman and a complaints management system will be created to enable policyholders to track the status of their complaints online. The Ombudsman may use video-conferencing for hearings.
Several amendments have been made for securing the independence and integrity of the Ombudsman selection process, while also building safeguards to secure the independence and impartiality of the appointed persons while serving as Ombudsmen.