Insurance sector regulator Irdai has imposed a fine of Rs 4 lakh on SBI Life Insurance Company Ltd for violating norms on advertisement and protection of policyholders’ interest.
The Insurance Regulatory and Development Authority of India (Irdai) said it had examined samples of proposal forms signed on November 30, 2016; December 23, 2016; February 17, 2017; and March 23, 2017. It was found that provisions prior to the Insurance Laws (Amendment) Act, 2015, were incorporated instead of new provisions.
Besides, the provisions of the Section 45 of Insurance Act, 1938, which deals with advertisement and disclosure norms were not properly reflected, the regulator said.