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Submit your complaint →Krishna Prasad Magalam accuses Bajaj Allianz General Insurance of denying No Claim Bonus (NCB) during renewal of Punjab National Bank (PNB) Group Mediclaim policy, violating IRDAI guidelines and policy terms. Read the full verified complaint and learn how Choice4Voice.com helps consumers escalate such insurance disputes legally.
Complaint Summary : Bajaj Allianz General Insurance Faces Complaint Over Non-Compliance With IRDAI No Claim Bonus Rules
| Detail | Information |
|---|---|
| Complainant Name | Krishna Prasad Magalam |
| Occupation | Senior Specialist – Instrumentation and Controls, Oil & Gas Projects |
| Complaint Type | Violation of IRDAI Regulations / Policy Misrepresentation |
| Company / Brand | Bajaj Allianz General Insurance Company Limited |
| Policy Involved | Punjab National Bank (PNB) Group Mediclaim Policy |
| Issue | Non-provision of No Claim Bonus (NCB) during policy renewal despite IRDAI circular and policy wording |
| Date of Complaint | October 2025 |
| Company’s Response | No response or correction provided |
| Regulatory Authority Concerned | Insurance Regulatory and Development Authority of India (IRDAI) |
| Public Platform |
Complaint Overview
Krishna Prasad Magalam, a Senior Specialist in Instrumentation and Controls for Oil & Gas projects, has publicly accused Bajaj Allianz General Insurance Company Limited of unethical business practices and violation of IRDAI’s health insurance regulations.
According to his LinkedIn statement, Krishna Prasad holds a Punjab National Bank (PNB) Group Mediclaim Policy underwritten by Bajaj Allianz. Upon renewal, he discovered that the company failed to provide the No Claim Bonus (NCB) as specified in both the policy wording and the Insurance Regulatory and Development Authority of India’s (IRDAI) Master Circular on Health Insurance Business, Para 14.
He alleged that:
- Bajaj Allianz denied NCB without any valid reason or disclosure in the policy copy.
- The company’s actions defy the IRDAI circular and mislead consumers regarding policy benefits.
- The policy document itself includes NCB clauses, yet the company failed to implement them.
Krishna Prasad further appealed to the Ministry of Finance and IRDAI to take strict action, suggesting suspension of Bajaj Allianz’s license to operate in the health insurance domain if it continues such practices.
This complaint raises serious concerns about non-compliance with regulatory directives and lack of transparency in health insurance policy renewals.
Company Background: Bajaj Allianz General Insurance Company Limited
Bajaj Allianz General Insurance Co. Ltd., a joint venture between Bajaj Finserv Limited (India) and Allianz SE (Germany), is one of India’s leading private general insurers. The company offers a wide range of insurance products, including health, motor, travel, and property insurance.
While Bajaj Allianz has maintained a strong market presence, recent consumer complaints suggest increasing dissatisfaction around:
- Delays or denial of claims
- Misinterpretation of policy terms
- Non-adherence to IRDAI-mandated benefits, such as No Claim Bonus (NCB)
- Poor grievance redressal processes
The alleged non-compliance with IRDAI’s NCB rules could result in regulatory scrutiny, consumer compensation orders, and potential penalties under the Insurance Act.
Legal Section: Applicable Laws and Consumer Rights
The following legal provisions and regulatory clauses are relevant to this case:
- Insurance Regulatory and Development Authority of India (IRDAI) Master Circular on Health Insurance Business (2024), Para 14:
Mandates insurers to provide No Claim Bonus (NCB) on renewals without exceptions unless clearly disclosed in the policy. - Insurance Act, 1938 (Sections 40–45):
Covers misrepresentation, non-disclosure, and violation of regulatory conditions by insurers. - Consumer Protection Act, 2019:
Protects policyholders from unfair trade practices and misleading representations. - IRDAI (Protection of Policyholders’ Interests) Regulations, 2017:
Requires insurers to act fairly, provide transparent information, and honor policy terms. - Indian Penal Code (Section 420):
Applicable in cases where misrepresentation or deliberate cheating is proven.
Possible Legal Cases to File
- Complaint before IRDAI (Grievance Redressal Cell)
- Consumer Court (District Consumer Disputes Redressal Commission)
- Bank Ombudsman (if sold through PNB channel)
- Legal Notice under Section 45 of Insurance Act for violation of policy terms
How Choice4Voice.com Can Help
Choice4Voice.com empowers consumers like Krishna Prasad Magalam to raise their voices when insurance companies fail to comply with regulations or deny rightful benefits.
Assistance Provided:
- Complaint Publication: Verified cases are published to attract public and regulatory attention.
- Legal Draft Templates: We provide pre-formatted complaint letters for IRDAI and consumer forums.
- Authority Escalation: Support in escalating unresolved complaints to IRDAI and Consumer Court.
- LinkedIn Reporting: If you tag Choice4Voice.com on LinkedIn, we report your case through our official page for higher engagement.
- Legal Action Support: If the insurer refuses to act, Choice4Voice.com can assist complainants in filing formal legal proceedings.
Step-by-Step Guide to File an Insurance Complaint
- Contact the Insurer: Submit a written complaint to Bajaj Allianz and wait for 15 days for a response.
- Escalate to IRDAI: File the grievance on the IGMS portal (https://igms.irda.gov.in).
- Send an Email Complaint:
- File a Case in Consumer Court: If not resolved within 30 days, approach your local Consumer Forum under the Consumer Protection Act, 2019.
- Keep Evidence Ready: Maintain policy documents, renewal receipts, screenshots, and correspondence.
Legal Templates Available from Choice4Voice.com
- IRDAI Complaint Draft (for policy non-compliance)
- Consumer Forum Complaint Draft (for misrepresentation)
- Email Escalation Template to Insurer and Regulator
- Legal Notice Format for Denied Policy Benefits
These are provided free of cost to verified complainants through our consumer assistance initiative.
Questions and Answers on Health Insurance Complaints in India
1. What is No Claim Bonus (NCB) in health insurance?
It’s a benefit that rewards policyholders with additional coverage or discounts for not making a claim during a policy year.
2. Can an insurer deny NCB without reason?
No. As per IRDAI rules, NCB cannot be denied unless exclusions are clearly stated in the policy.
3. How can I file a complaint against Bajaj Allianz?
You can file on the IRDAI IGMS portal or through Consumer Court with all supporting documents.
4. What happens if an insurer violates IRDAI circulars?
IRDAI can impose penalties, order refunds, or suspend the insurer’s license.
5. Does the IRDAI Master Circular apply to group health policies?
Yes. All group health policies are covered under IRDAI’s regulatory framework.
6. How long does IRDAI take to respond to complaints?
Usually within 30 days from the date of registration on the IGMS portal.
7. What is the PNB Group Mediclaim Policy?
It’s a group health insurance scheme offered by Punjab National Bank in association with Bajaj Allianz.
8. Can I approach the Finance Ministry for insurance issues?
Yes, for policy violations or systemic issues involving regulatory non-compliance.
9. Can IRDAI suspend an insurer’s license?
Yes, if repeated violations or consumer exploitation are proven.
10. What proof is required for an NCB-related complaint?
Policy copy, renewal notice, and correspondence confirming NCB denial.
11. Can I get compensation for unfair denial of NCB?
Yes. You can claim financial compensation in consumer court for unfair trade practice.
12. How much time does a consumer court case take?
Generally 3–6 months, depending on case complexity.
13. Can I switch insurers after such issues?
Yes, portability allows switching without losing NCB benefits if done before renewal.
14. Is NCB applicable if policy is renewed late?
Usually not, unless the renewal happens within the grace period.
15. Can a bank influence an insurance claim?
No. Banks are only facilitators; the insurer is responsible for policy obligations.
16. How to check if NCB is included in my policy?
Review your policy schedule and terms & conditions document for NCB clauses.
17. Can I claim NCB in both health and motor insurance?
Yes, though they operate under different frameworks.
18. Does IRDAI protect consumers in all insurance matters?
Yes. IRDAI ensures fairness, transparency, and policyholder rights.
19. Can Choice4Voice.com help with IRDAI complaints?
Yes. We guide you with templates and help in drafting effective complaints.
20. Why should I feature my complaint on Choice4Voice.com?
Public visibility increases accountability and helps regulators act faster.
Author
Name: Krishna Prasad Magalam
Profession: Senior Specialist – Instrumentation and Controls, Oil & Gas Projects
Complaint Source: Verified LinkedIn Post
Complaint Category: IRDAI Violation / No Claim Bonus Denied
