INDIAN REGULATOR CONSIDERS TAKING UP COMPLAINTS ON ITS OWN

The Indian Insurance & Regulation Development Authority (Irda) has said that it plans to take actions against insurance companies on its own behalf when policyholders have complaints. Currently policyholder complaints have to go through 12 regional ombudsmen, which are not allowed to act until a complaint is received. Irda chairman J Hari Narayan said that "strengthening this system further ... will increase the customer welfare". He said that Irda was planning to convene a meeting with the ombudsmen to discuss the matter. Of 21,065 complaints to ombudsmen in financial year 2010-11, 71% were rejected, with awards or recommendations only being made in 15% of cases.