• Feedback
  • RSS Feed
  • Sitemap
Ommcom News
  • Home
  • Odisha
  • Nation
  • World
  • Sports
  • Business
  • Entertainment
  • Videos
  • Science & Tech
  • Photo Gallery
  • ଓଡ଼ିଆରେ ପଢନ୍ତୁ
No Result
View All Result
  • Home
  • Odisha
  • Nation
  • World
  • Sports
  • Business
  • Entertainment
  • Videos
  • Science & Tech
  • Photo Gallery
  • ଓଡ଼ିଆରେ ପଢନ୍ତୁ
No Result
View All Result
Odisha News, Odisha Breaking News, Odisha Latest News || Ommcom News
Home Nation

Govt Asks Insurers To Extend Free Look Period To 1 Year To Prevent Mis-Selling

OMMCOM NEWS by OMMCOM NEWS
February 17, 2025
in Nation

Mumbai:  The government on Monday asked private insurance companies to increase the free look period for policyholders from one month to one year.

M. Nagaraju, Secretary of the Department of Financial Services (DFS), shared this update during a post-Budget press conference in Mumbai.

The free look period is the time given to policyholders to cancel their insurance policy without any surrender charges.

If a policyholder decides to return the policy within this period, the insurer must refund the first premium paid.

Last year, the Insurance Regulatory and Development Authority of India (IRDAI) had extended this period from 15 days to 30 days.

Now, the government wants insurance companies to increase it further to one year to offer more protection to customers.

“The government has introduced and encourages insurance companies to increase the look-out (free look) period of insurance policies to one year from one month,” Nagaraju said.

He added that the insurer will refund the first premium paid if the policyholder returns the policy within the period.

This step is part of the government’s efforts to reduce the mis-selling of insurance policies.

“Public sector companies have been asked to introduce ‘call back’ in insurance policies, i.e., once the product is sold, a call back is sent to the customer to understand whether he/she is happy with the product or if they want to surrender,” Nagaraju stated.

He continued that we have also asked private sector companies to do the same so that mis-selling is not there.

Many customers have complained about being misled or forced into buying policies they did not need.

However, recent data suggests an improvement in the situation. According to IRDAI’s annual report for FY24, complaints related to unfair business practices against life insurers fell to 23,335 from 26,107 in the previous year.

The share of such complaints in total grievances also declined from 21 per cent in FY23 to 19.3 per cent in FY24.

Meanwhile, discussions on the Insurance Amendment Bill are also progressing. Nagaraju mentioned that internal consultations have been completed, and the bill will include details on investments and foreign direct investment (FDI) rules.

A key reform under this bill is the introduction of a composite insurance license, which will allow insurers to offer multiple types of policies under a single license.

(IANS)

ShareTweetSendSharePinShareSend
Previous Post

Top Russian Officials Head To Riyadh To Prepare Groundwork For Trump-Putin Meet

Next Post

Poacher Arrested With Country Gun In Similipal Sanctuary

Related Posts

Nation

Qatar’s Shura Council Supports India’s Call To Uproot Terrorism: Supriya Sule

May 25, 2025
Nation

Gujarat: By-Elections For Two Assembly Seats To Be Held On June 19

May 25, 2025
arrest
Nation

Nine Bangladeshis, Including 4 Minors, Caught In Delhi’s Wazirpur JJ Colony

May 25, 2025
Nation

BSF DG Visits Manipur; Reviews Security Situation, Motivates Troopers

May 25, 2025
Nation

Kerala Sounds Alert Amid Suspected Hazardous Substance Leak From Capsized Cargo Ship

May 25, 2025
New Delhi: Prime Minister Narendra Modi poses for a group with NDA Chief Ministers and Deputy Chief Ministers as Union Ministers Amit Shah, Rajnath Singh, and J.P. Nadda look on at Ashoka Hotel, New Delhi, on Sunday, May 25, 2025. (Photo: IANS)
Nation

NDA Conclave: PM Modi Praises ‘Wonderful’ Deliberations On Good Governance

May 25, 2025
Next Post

Poacher Arrested With Country Gun In Similipal Sanctuary

MArG 155mm/45 Cal Mounted Gun System Launched At IDEX In Abu Dhabi

In Special Gesture, PM Modi Receives Qatar Amir At Airport

Khimji
  • Feedback
  • RSS Feed
  • Sitemap

© 2025 - Ommcom News. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Home
  • Odisha
  • Nation
  • World
  • Sports
  • Business
  • Entertainment
  • Videos
  • Science & Tech
  • Photo Gallery
  • ଓଡ଼ିଆରେ ପଢନ୍ତୁ

© 2025 - Ommcom News. All Rights Reserved.