Adopt reasonable font size in policy forms: IRDA to insurers
New Delhi: Insurance regulator IRDA Tuesday asked all insurers to adopt a reasonable font size so that the policy holders are not at discomfort while reading forms.
"In order to ensure that the policyholders and beneficiaries of insurance policies are not at discomfort while using the forms with insignificant prints, there is a need to maintain a reasonable font size in all the forms by all insurers," Insurance Regulator and Development Authority (IRDA) said in a circular Tuesday.
It advised the insurers to maintain a minimum font size equivalent to 'Times New Roman size number 7'.
"...Prospects and policyholders may find it difficult to go through the conditions and clauses of various forms that are printed in insignificant print.
Therefore, all insurance companies are advised to use a minimum print equivalent to font 'Times New Roman - size no. 7' or above in respect of all forms that are made available to both prospects and policyholders both during the course of granting the cover and subsequent policy servicing," it said.
Further, considering the geographic spread of business of insurance and multi-lingual diversity of the Indian populace, Irda advised the insurers to provide policy servicing forms in languages recognised under Indian constitution of India.
"...All the forms and documents used in the grant of cover may, depending upon the circumstances of each case, be made available in languages recognised under the constitution of India," the circular said.
Irda said that the initiative may go a long way in benefiting the insurers by way of promoting the customer confidence and increasing the transparency at client level operations.
"The insurer may also have the option of making available these forms in languages recognised under the constitution of India on their website so that all the forms can be accessed and used at all levels," it added further.