प्रेस विज्ञप्ति / Press Release

Insurance Regulatory and Development Authority of India Press Release | 10th September 2026

Order in the matter of IndusInd Bank Limited (Corporate Agent) The Insurance Regulatory and Development Authority of India (IRDAI) passed an Order against M/s IndusInd Bank Limited (‘Corporate Agent’), pursuant to an onsite inspection conducted during June 2023 and subsequent enforcement proceedings.

Based on the findings of the inspection, submissions made by the Corporate Agent, and the personal hearing conducted before a panel of two Whole-time Members, certain violations relating to renewal notices, grievance redressal mechanism for insurance policyholders, disclosures to the Authority, and disclosures on the Corporate Agent’s website were established.

The Corporate Agent failed to establish a dedicated, policyholder-facing grievance redressal framework, improperly relying on generic banking mechanisms rather than providing insurance-specific IVR or website channels. Furthermore, after promising compliance during regulatory proceedings, the Corporate Agent submitted representations and screenshots of a grievance portal that, upon test verification by the Authority, proved non-functional and failed to generate complaint acknowledgments.

After due consideration of the facts and submissions, the Competent Authority imposed a penalty of Rs. 1 crore (Rupees One Crore only) under Section 102 of the Insurance Act, 1938, for violation of Regulation 20(1) of the IRDAI (Registration of Corporate Agents) Regulations,

2015. The Corporate Agent has been directed to strengthen its grievance redressal mechanism. The Corporate Agent has also been directed to place the Order before its Board and submit an Action Taken Report (ATR) to the Authority within 90 days from the date of the

Order.

The Authority also issued cautions and advisories in respect of certain other compliance deficiencies, including deficiencies in renewal notices, disclosure of regulatory actions to the Authority, and prescribed disclosures on the Corporate Agent’s website regarding its registration and role as an insurance intermediary.

The detailed Order is available on the IRDAI website at Order in the matter of IndusInd Bank Limited IRDAI remains committed to ensuring policyholder protection, transparency, accountability and compliance with the regulatory framework across the insurance sector. The Authority willcontinue to take appropriate supervisory and enforcement action wherever regulatory violations are observed.