A growing number of Indian policyholders are discovering that they may have been victims of mis-sold insurance—policies they didn’t fully understand, didn’t need, or were tricked into buying. Whether it’s life insurance, health cover, or bundled policies tied to loans or credit cards, mis-selling continues to be a widespread concern.

If you suspect you were misled into buying an insurance policy, don’t panic. Here’s a practical, step-by-step guide to filing a complaint and taking back control.

What Is Mis Sold Insurance?

Mis sold insurance refers to any insurance policy sold under misleading, incomplete, or false information. This can include:

Being sold a policy without full disclosure of terms and conditions Not being informed about exclusions, lock-ins, or waiting periods Being promised high or guaranteed returns that don't exist. Having insurance added unknowingly while taking a loan or credit card.

Most cases of mis-selling in India occur through overzealous agents, third-party banking channels (bancassurance), or misleading advertisements.

Step 1: Review Your Policy and Collect Evidence

Before filing a complaint, gather all the documentation that proves your case:

• Original policy documents or bond Proposal form and application papers

• Email or SMS communication from the insurer or agent Bank statements or premium receipts

• Written notes of any verbal promises or misleading claims

The more details you provide, the easier it will be to prove that you were misled.

Step 2: Raise a Complaint with the Insurance Company

Start by complaining directly to the insurer’s grievance redressal cell. Here’s how: 

• Submit a formal written complaint via their website or grievance portal

• Email the grievance officer (contact details are on the insurer’s official site) 

• Visit a branch and submit a signed complaint letter

Make sure you get a written acknowledgment or complaint reference number. Under IRDAI guidelines, insurers must respond within 15 working days.

Step 3: Escalate the Complaint

If the insurer’s reply is unsatisfactory or if there is no response within 15 days, you can escalate it through two official channels:

Option 1: IRDAI – Integrated Grievance Management System (IGMS)

Website: https://igms.irda.gov.in

Toll-Free Number: 155255 or 1800 4254 732

Submit your complaint and upload supporting documents

Option 2: Insurance Ombudsman

A free, region-based dispute resolution forum

You must first file a complaint with your insurer before contacting the Ombudsman Visit https://cioins.co.in to find your region’s Ombudsman

Note: The Ombudsman’s decision is binding on the insurer but not on the customer. You still retain the right to take legal action if needed.

Why Is Mis Sold Insurance a Growing Problem in India?

Reports from the Insurance Regulatory and Development Authority of India (IRDAI) indicate thousands of mis-selling complaints every year. Many victims are:

Senior citizens lured by false promises of guaranteed returns First-time buyers unaware of policy clauses

Customers misled by digital ads or bank agents

The pressure to meet sales targets often leads to aggressive and unethical selling practices, making consumer awareness more important than ever.

Final Thoughts: Know Your Rights, Take Action

If you think you’ve been sold the wrong insurance product, don’t stay silent. Under Indian law, you are protected. Make use of the free-look period—a window of 15 days (30 days for online/distance sales) to cancel any policy you’re unsure about.

Quick Tips:

• Ask questions before signing anything

• Read the policy document carefully—not just the brochure

• Keep all communication and receipts File your complaint without delay

Share Your Experience

Have you been a victim of mis sold insurance in India?

Tell us your story in the comments—or contact our team to raise awareness and help others avoid the same pitfalls.

This article is part of our ongoing consumer protection series. Subscribe to stay informed about your rights in finance, insurance, and more.