ICICI Lombard General Insurance Company Limited has announced that it received an Order dated September 7, 2026, from the Insurance Regulatory and Development Authority of India (IRDAI). The order imposes a penalty of ₹1,00,00,000 (Rupees One Crore) concerning certain aspects of outsourcing activities undertaken by the company. The company is currently evaluating the order and will take necessary actions.
IRDAI Imposes Penalty on ICICI Lombard
ICICI Lombard General Insurance Company Limited has disclosed receipt of an official Order from the Insurance Regulatory and Development Authority of India (IRDAI), dated September 7, 2026. This Order mandates a penalty of ₹1,00,00,000 (Rupees One Crore). The penalty has been levied with respect to certain aspects pertaining to outsourcing activities undertaken by the company. These activities were found to be in violation of the Outsourcing Regulations, 2017, read with the Corporate Governance Guidelines, 2016.
Details of the Order
The IRDAI’s action stems from an onsite inspection conducted in September 2019. Following this, the company received a Show Cause Notice in July 2024 and a Supplementary Show Cause Notice in December 2024, which provided an opportunity for a personal hearing and additional submissions. After reviewing these submissions, IRDAI issued the final Order. In addition to the penalty, IRDAI has also issued further directions and advisories to the company, which are to be complied with within specified timelines.
Financial and Operational Impact
The financial impact of this penalty is restricted to the stated amount of ₹1 Crore. No impact is expected on the overall operation or other activities of the Company. ICICI Lombard is currently evaluating the Order and has stated that it will take necessary actions accordingly.
Source: BSE
