The Insurance Regulatory and Development Authority of India (IRDAI) has fined Canara HSBC Life Insurance ₹1 crore for mis-selling a deferred annuity policy to an 88-year-old man. The policy was sold in February 2025 through Canara Bank, the insurer’s corporate agent, carrying an annual premium of ₹2 lakh with a four-year premium payment term. The policyholder was the 88-year-old man, and his 57-year-old daughter was named as the annuitant. However, the policy specified an entry age limit of 30 to 80 years, which the senior citizen exceeded.
IRDAI began proceedings suo motu after noticing a social media post about the case. The regulator found the sale violated the product's age criteria and regulatory compliance requirements. This ₹1 crore penalty emphasizes IRDAI's commitment to enforcing insurance guidelines and protecting consumers, especially senior citizens, from unsuitable or mis-sold products. It also highlights the necessity for insurers and their agents to follow prescribed eligibility and entry-age conditions strictly.
