JAMMU, Nov 13: Expressing concern over the recently released proposed regulations by Insurance Regulatory & Development Authority (IRDA) of India for opinion and suggestions of all stake holders, Indian Institute of Insurance Surveyors & Loss Assessors (IIISLA) J&K Chapter today observed camera down protest here at Bahu Plaza.
Talking to reporters Ravi Dhar, Chairman IIISLA J&K said that IRDAI is now coming up with ‘Regulation-2019’ for practicing Surveyors & Loss Assessors in India.
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“The provisions of the proposed Regulation will not only adversely affect the General Insurance Industry but also its Intermediaries, Automobile sector, Banking and Finance sector, Trade and Commerce and Industries besides the policy holders and the economy of the country,” he further said.
Dhar also said that IRDA and the government of India should scrap this regulation as, if implemented, it will create a trust deficit for insurance companies like has been observed in banking sector presently.
“Similarly if insurance employees are engaged to interpret policy contract, of which they are also a party, and settle the claim, then outcome would be obviously inclined towards company instead of insured public,” he maintained.
“Since the insurance companies are themselves involved, therefore, consumer dispute redressal system within the company will not take care of consumer complaint,” Dhar claimed.
Rajesh Gupta, Secretary IIILSA said, in the Regulation the provision of one year compulsory training to Trainee Surveyor is also withdrawn to engage ‘untrained, inexperienced and non-technical Employee Surveyors.’
He said that IRDAI has proposed a hike in No Survey Financial Limit (NSFL) from Rs. 50,000 to Rs. 75,000 for motor claims and Rs. 1,00,000 to Rs. 1,50,000 for other claims.
“This illogical hike in NSFL will bury the possibility of consumer getting any justice as more than 85 per cent of the total reported claims fall within the said NSF limit and will be handled by the Employee Surveyor. How, the untrained Employee Surveyors can be at par with the trained and experienced independent surveyors,” he asked.
Gupta further said that various committees including Standing Committee on Finance headed by Yashwant Sinha, Select Committee, FSLRC, Law Commission have made unanimous recommendation that each and every claim arising out of a insurance policy should be settled by an Independent & Licensed Insurance Surveyor and not by in house or Employee Surveyor so that the loss assessment is carried out without prejudice or bias or malice and there is no Conflict of Interest whilst compensating the loss to ensure the independent, transparent and just assessment.