Niva Bupa Health Insurance Company Limited confirmed receipt of a Show Cause Notice (SCN) from the Insurance Regulatory and Development Authority of India (IRDAI) on February 26, 2026. This action followed an inspection conducted in February 2025. The SCN pertains to business and operational aspects, and the company is currently preparing its formal response. Simultaneously, IRDAI issued a Letter of advice detailing compliance measures, which the company is actively implementing with no immediate material impact reported.
Regulatory Communication Received
Niva Bupa Health Insurance Company Limited has officially disclosed receiving two significant communications from the Insurance Regulatory and Development Authority of India (IRDAI) concerning a supervisory inspection carried out in February, 2025. The company confirmed that it had already submitted a formal reply addressing the observations arising from that inspection.
Show Cause Notice and Response
The most critical update is the issuance of a Show Cause Notice (SCN) by IRDAI on February 26, 2026. This notice specifically relates to business and operational aspects of the Company. Niva Bupa confirmed that it is currently in the process of formulating and submitting its comprehensive response to the regulator regarding the matters raised in the SCN.
Letter of Advice Implementation
In addition to the SCN, IRDAI also provided a Letter of advice recommending certain compliance measures. The Company stated that necessary actions advised in this letter are already underway, and at this stage, there is no anticipated impact on financial, operational, or other activities of the Company.
Details of Alleged Violations
The Letter of Advice detailed potential violations related to provisions within several key regulatory documents, including:
- Master Circular on Health Insurance Business;
- Master Circular on Protection of Policyholders Interest;
- Master Circular on Corporate Governance.
The company is proceeding with the implementation of corrective actions as advised in the letter concerning these regulations.
Source: BSE
