Insurance watchdog Irda will set up a centralised grievance redress mechanism to ensure that the problems of customers in the life and non-life sectors are addressed in a time-bound manner.

"The Authority is in the process of developing the new Integrated Grievance Management System (IGMS) which will... facilitate policyholders to register or track their complaints online with insurance companies...," the Insurance Regulatory and Development Authority (Irda) has said in a letter to all insurers.

The new IGMS, when implemented, would help Irda to monitor the grievance redressal procedure set up by the insurance companies, vis-a-vis the complaints.

"The system involves mirroring of the grievance database of insurers in a central repository created for the said purpose," the letter added.
    
To implement this, the regulator has asked the insurance companies to set up infrastructure which would be compliant with the said grievance settlement procedure.
    
"All insurers are directed to nominate professionals from their IT team and Grievance cell by September 8, 2010, who would be responsible for ... Successful completion of the integration requirement," Irda said.
    
In the interest of policyholders, Irda had made it mandatory for insurance companies from August 1 to respond to the grievances of customers within two weeks or face penal action.
    
"An insurer shall send a written acknowledgement to a complainant within three working days of the receipt of the grievance...Where the grievance is not resolved within three working days, an insurer shall resolve the grievance within two weeks of its receipt and send a final letter of resolution," Irda had said.
    
In the recent letter to all insurers, Irda had asked the insurance companies to modify their grievance management system "to incorporate the uniform input form to be specified by the Authority."

New Ipad Application :Business Standard's all new IPad App Click here to download for free Other Stories      - Markets end lower amid weak rupee, global cues - Jyothy Laboratories Q4 net up 22% at Rs 28 cr - Tata Global Beverages Q4 net dips 36% at Rs 54 cr - Indian economy resilient enough to overcome challenges: Pranab - Ministry asks CIL to examine contentious FSA issues

Tags : Irda | Life insurance | grievance redress | non-life insurance   Read Business news in  Advertisements -  Benefits Upto Rs. 2.36 Lakhs on the Fully Loaded TJet Petrol. -  Journey on, We are by Your Side. Click here to know more -  2 Lac Apartments, 1 Lac House / Plots. Click here -  Benefits Upto Rs. 2.36 Lakhs on the Fully Loaded TJet Petrol. -  The Best Seller is Also the No. 1 in Mileage. Click here -  Watch The Film Here. Click here to know more.. -  Leader in Passenger Car & Automobile Tyres. Click here -  1 billion in saving for Unilever without any tangles. -  Learn How One City is Running on FOOD SCRAPS. -  One Partnership Endless Possibilities. Click here to know more -  Helping doctors detect diseases earlier, saving costs & extending lives. -  36 Lakhs can get you a pool of Luxuries. Click here -  Which is the best plan for your daughter -  Check out the TRUE COLOURS of your Stocks, Now for FREE! -  One of the leading business schools in the world.Know More