Mis-selling of life cover not at alarming levels: Irdai

MUMBAI: The Insurance Regulatory and Development Authority of India (Irdai) has said that mis-selling in the life insurance sector is not at alarming levels, citing grievance data published in its annual report. Speaking at an industry event, Irdai member (Life) Swaminathan S Iyer said the number of mis-selling complaints are not alarming. They currently stand at around 0.41 per 100 policies. While it is not alarming, the regulator has consistently told the industry that the number must keep going down.

Insurance CEOs at the event on launch of insurance awareness campaign said that addressing mis-selling is a collective industry responsibility, and both the regulator and insurers remain committed to further reducing the number of complaints.

On the issue of public listings, Iyer clarified that Irdai does not mandate IPOs but encourages insurers to consider it as they grow. There have been deep conversations between the regulator and insurers, he said. As companies mature, listing becomes a natural next step, to show the world we are strong and well-governed, he added. With policy volumes stagnating and premium growth tapering, the industry has launched a major awareness campaign titled " Sabse Pehle Life Insurance", backed by a Rs 450 crore investment over the next three years.