Shares of Star Health and Allied Insurance Company plunged to a fresh 52-week low on Tuesday after the Insurance Regulatory and Development Authority of India (IRDAI) identified lapses in the company's claims settlement practices.
However, Star Health has clarified that IRDAI conducts regular audits and thematic inspections as part of its regulatory oversight, in line with the framework outlined in its master circulars. These assessments are a routine process to ensure compliance across the industry.
According to a report by CNBC-TV18, the regulator is expected to take further action after concluding its investigation.
The stock fell 3.82 percent to an intraday low of Rs 345.3 per share on the NSE, marking its lowest level in a year. The scrip has been on a losing streak for two consecutive sessions, shedding 4.27 percent during this period.
According to the report, IRDAI conducted inspections across 8-10 general and health insurance companies, scrutinising key aspects such as claims repudiation, approvals, queries raised, and deductions.
Here's what we know, so far, about Star Health insurance data breach
Earlier, Chennai-based insurer had come under scrutiny after a cyberattack that compromised sensitive information of over 31 million customers. Stolen data, including names, PAN details, medical records, and policy information, was reportedly being sold online for as much as $150,000, with smaller sets priced at $10,000.
Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
