Negative impactSector
Insurance mis-selling: Retired professor gets ₹10.6 lakh; court says signatures alone don’t prove informed consent
Mint 1 hr ago·7 Sept 2026, 2:42 am
A Hyderabad consumer court recently ordered a ₹10.6 lakh refund to a 73-year-old retired professor, ruling that his insurance policy was sold without his true consent. The court found that the signatures on the documents were not enough to prove he was fully informed about the product. Consequently, the bank and the insurer were also ordered to pay ₹60,000 in compensation and legal costs.
This ruling highlights a growing issue of mis-selling in the financial sector, where products are pushed on customers who do not fully understand the risks. For investors, this serves as a reminder that due diligence is vital. It is important to carefully read all terms and conditions before signing any policy to ensure you are making an informed decision.
Moving forward, this case may prompt stricter scrutiny of how financial products are sold. Regulators and investors alike will be watching to see if this judgment leads to better protection for consumers and more accountability from banks and insurance companies.
Excerpt from Mint
A Hyderabad consumer commission ordered a ₹ 10 lakh insurance refund to a 73-year-old retired professor after finding the policy was sold without free and informed consent. The bank and insurer were also ordered to pay ₹ 60,000 in compensation and costs. A 73-year-old retired associate professor has secured ₹ 10.6…Read the original at Mint
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