Insurance ombudsman disposes of 40.5K complaints in FY22

Mumbai: During the financial year 2021-22, the total number of complaints across all 17 Insurance Ombudsman Offices was 45,370, out of which the Offices of Insurance Ombudsman had disposed of 40,527 complaints. The total disposal of complaints is 89.33 per cent.

For our Mumbai Centre the total number of complaints for the year 2021-22 were 4,890 out of which we have disposed of 3,406 complaints. Thus the total disposal of complaints for our centre is 69.65 per cent, said Vijay Tiwary, Secretary, Office of the Insurance Ombudsman, Mumbai.

Talking to Bizz Buzz, Bharatkumar Pandya, Insurance Ombudsman, says, "It's just at par with last year. However, as the output had suffered due to absence of Regular Ombudsman for five months, the catching up work done in the balance period which still achieved at par level of output is satisfying, though certainly not enough considering the accelerated influx of new complaints." After the receipt of complaint often the insurers do come forward with settlement proposals acceptable to complainants. However, if the insurers can come forward with settlement offers more pro-actively and in identifying more cases, keeping in mind the past approach of the forum in similar cases, better outputs can be achieved, he said.

According to Pandya, "This can be done by the insurer in Covid short-settlement cases. Similarly, if the complainants too, in the interest of expediency and speedier resolutions, would accept those offers of insurers which substantially, though not fully, meet the expected relief and speedily accept the offers made by insurers, speedy disposal of cases can be achieved."

Bima Lokpal Day is celebrated every year on November 11, to mark the foundation day of establishment of the Institution of 'Insurance Ombudsman'. In 1998 on this day, the Government of India had notified the 'Redressal of Public Grievances Rules'. Insurance Ombudsman is a quasi-judicial grievance redressal machinery to redress complaints of insured persons against life and non- life insurance companies. The main objective is for resolution of insurance complaints in a cost effective, efficient and in an impartial manner.

In the year 2017, government of India notified new rules in the matter called 'Insurance Ombudsman Rules, 2017'. The said rules have been further amended by, Ministry of Finance as Insurance Ombudsman (Amendment) Rules, 2021 on March 2, 2021. The object of these rules is to resolve all complaints of all personal lines of insurance, group insurance policies, policies issued to sole proprietorship and micro enterprises on the part of insurance companies and their agents and intermediaries in a cost effective and impartial manner.

After the receipt of complaint often the insurers do come forward with settlement proposals acceptable to complainants. However, if the insurers can come forward with settlement offers more pro-actively and in identifying more cases, keeping in mind the past approach of the forum in similar cases, better outputs can be achieved

- Bharatkumar Pandya, Insurance Ombudsman