IRDA said that easy-to-understand insurance products have been provided to meet the individual needs of the customers. Along with this, customers have also been given the opportunity to have adequate choices.
The Insurance Regulatory and Development Authority of India (IRDAI) on Tuesday gave strict instructions to insurance companies regarding claims. IRDA said that general insurance companies cannot reject claims due to lack of documents. A master circular has been issued in this regard. This is part of the reforms in the general insurance business. It is believed that this will usher in a new era for simple and customer-centric insurance solutions. It is being said that the comprehensive master circular on general insurance business also repeals 13 other circulars.
Provision of easy-to-understand insurance products
IRDA said that easy-to-understand insurance products have been provided to meet the individual needs of customers. Along with this, provision has also been made to give adequate options to the customers. At the same time, it has now become possible to improve their insurance experience. The circular states that no claim will be rejected due to lack of documents. Necessary documents should be asked for at the time of acceptance of the proposal.
What is special in the circular?
According to this, customers can be asked to submit only those documents which are necessary and related to claim settlement. Apart from this, retail customers can cancel the policy at any time by informing the insurer. At the same time, the insurer can cancel the policy only on the basis of fraud being proven.
