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-   -   ICICI Lombard claims policy not renewed despite making payment & receiving soft copy (https://www.team-bhp.com/forum/indian-car-loans-insurance/272260-icici-lombard-claims-policy-not-renewed-despite-making-payment-receiving-soft-copy.html)

As the title suggests, ICICI totally scammed me:

Aug 2022: Car insurance renewal due, I got a renewal quote, paid the full amount on the ICICI portal and received a copy of the new policy which was valid from Aug 2022 till Aug 2023. I double checked the new policy on the IL Take Care App and it showed the same policy with validity till Aug 2023.

Aug 2023: Soliciting new quotes for renewal and ICICI Lombard giving me error on their app when I click on renewal.

I called their customer care, gave them my policy number and they informed me that my policy was never renewed and it has been cancelled since Aug 2022. I informed them that I have proof of payment, received a pdf for the new insurance and it also shows up on the IL Take Care App as an active policy.

However, ICICI didn't have any answer to my queries and never gave me a reason why they never issued the policy after taking the full amount of 50,000 Rs. for the renewal.

After 15 days, they agreed to refund the full amount of 50K. I asked them to also reinstate my policy, reinstate my NCB since this is due to no fault of mine.

After not hearing anything from their team for 10 days, i contacted the local insurance ombudsman and within 48 hours, I had someone from ICICI corporate call me and issue the refund in a week.

However, because of this massive screw up due to no fault of mine
- My insurance premiums have now shot up since it shows that I didn't have an active insurance policy for over a year
- I have lost my NCB bonus over the last 3 years


Is there anyone who has experienced a similar situation and do you guys suggest any recourse on this?

TIA

It's always better to have the Digilocker app and fetch your insurance policy as soon as you pay the premium. Unless you have a proof of issues policy, nothing much can be done. It's our responsibility to make sure policy was issued. Try the Ombudsman thing and see how it goes. My insurer refused to renew citing that Ford is no longer in India!

You're right, in hindsight all insurance renewals should be double checked on the vahaan portal. In my case I received the renewal policy via email and it showed up on the ICICI app as renewed so I had no reason to suspect that it wouldn't be reflected on the vahaan portal.

This is quite alarming. Never could I have imagined that organized and authorized insurance players can issue a fake policy. I am still not able to digest this. The policy is sent to email as well.

I recently took a comprehensive policy for my new Safari from ICICI Lombard. They had happily transferred my NCB of 50% from my Verna to Safari based on Spinny sale agreement and they also issued me an NCB certificate later. I am wondering should I be worried. Never new insurance policies can also be accessed via Digilocker. I'll surely check this.

If they’ve taken the money AND issued a fresh policy by soft copy, how can they now renege on this. I don’t believe a simpliciter refund puts the customer in the same place. He has to be given the benefit of the policy to avoid the downsides of a one year “uninsured” gap. Alternately they should compensate him for the higher premiums as well.

This is clearly some internal screw up at ICICI’s end and I can’t imagine something so glaring will pass muster in their favour should the OP go to an Ombudsman for this. I’d say please reserve all your rights, perhaps even decline the refund and take it up with the Ombudsman. If you receive the refund, receive it “under protest” and subject to reserving all your rights.

Thank you, I am yet to receive an official response from the Ombudsman's office, but just for reference, here's the email from ICICI:

"Dear Sir,

Thank you for contacting ICICI Lombard General Insurance Company Limited.

This is in reference to your issue raised through Bimalokpal with regard to renewal of your ICICI Lombard policy.

We have reviewed your issue and as confirmed we understand you are in receipt of the refund amount paid against the premium of the policy. Further, we regret to inform you that we will be unable to issue the policy with continuity benefits since the refund has already been processed on request.

We value your feedback and we sincerely regret the inconvenience caused to you.

We hope to have addressed your issue and thank you for your understanding.

Regards,
Prerna Kasle
Grievance Redressal Manager
ICICI Lombard GIC Ltd "

Question to the OP and quoting:
"received a copy of the new policy which was valid from Aug 2022 till Aug 2023. I double checked the new policy on the IL Take Care App and it showed the same policy with validity till Aug 2023."

What did you mean by "received "? Was it on email? Policy can disappear from the app but not from the email if you received. And if the policy document is available to you, there is no way IL can wash their hands away from this. All the best!!

I don't think OP received it via email. If so, ICICI would be in soup. What would have happened is the payment was deducted and receipt was issued. New policy document was not issued. OP may have forgotten to check for it.

Regarding insurance policies, one can keep it in eIA (repository services for keeping policies in electronic format). One can access all insurances, Life, Health, Motor insurance through it. It's free of cost and voluntary, but very handy if you have lot of insurance to deal with. Also reminder can be set.

Please file a complaint on pgportal.in.

ICICI has a really poor customer service, but pgportal will help you get your case resolved.
In my case, ICICI Lombard sent a refund worth >30K to the previous owner of the car, long after the policy was transferred to my name. After a couple of months of follow up via pgportal (their own customer care was useless), they finally bit the bullet and sent the refund to my account. No idea if they ever managed to recover the incorrect refund to the wrong person!

I received a certificate of insurance cum policy schedule, same as what is sent every year after insurance is renewed. Issued by ICICI has all the details as per the previous year policy along with the renewal dates updated.

It’s the same certificate I receive from ICICI for my other vehicles as well. It was sent by my insurance agent and the same copy was available on the IL take care app portal.

Since I’ve received the refund, I need ICICI to reinstate my original policy, NCB with no premium hike due to the lapse in insurance timeframe. Does the PG Portal deal in these grievances?

You can try using the IRDAI grievance portal too to lodge your complaint:

https://bimabharosa.irdai.gov.in/

Why did you request refund for 2022-23 policy? That was a wrong move (IMHO) but you can still make your stand clear. Remove the lapse record and you are ready to repay the 50k. Fight it through all means. IRDAI, pgportal etc. Removing the lapse by ICICI should automatically adjust the NCB & the premium for 2023-24.

Just wondering if the 50 k refunded by ICICI more than covers for premium hike plus NCB loss, is it a bad deal? I understand the effects will be cumulative over years but it's also a possibility that run into a claim in a year or two.
There is no illegality as far as I know as many people who are outside forget to insure vehicles and there is no penalty in such cases when they do renew eventually.
You can do the maths and see if it's really worth going into a dispute.
Just an alternative thought and no undermining the issue here.

I had the same thoughts. You have received the refund for a prior period and during this period, thankfully you did not have to claim insurance. So wouldn’t this cover your NCB loss as well as your premium if not even a part of your current premium.
If i am right, I would consider this a resolution and move on, as you would be able to claim NCB next year based on your claims this year.

Somehow, I can't believe what has been written.

If they cancelled your policy, it means that the previous policy was with them. They must have bombarded you with calls to get it renewed.

We are in end October, the last policy, even if reinstated, will not benefit you as an inspection will be due.

Pocket the 50k, last year was free for you. Apply for a fresh policy from elsewhere.

Even if ICICI gives you a fresh policy, reinstates your old policy, they will not cover these three months, as the car may have been involved in an accident, hence inspection charges and NCB is gone already.

You can fight a legal battle and get compensation though.