ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has put forward a set of recommendations aimed at enhancing the resolution of insurance-related grievances for policyholders across the nation. The proposed measures include increasing the number of Insurance Tribunals and Small Dispute Resolution Committees (SDRCs) and implementing a digital complaint system.

According to Securities and Exchange Commission of Pakistan, the recommendations are detailed in the report titled “Strengthening Insurance Grievance Redressal in Pakistan: Current Status and Strategic Way Forward.” The report evaluates the current grievance mechanisms, which collectively processed 37,029 complaints in 2025.

The SECP has suggested that the Ministry of Law and Justice expand the number of Insurance Tribunals based on geographical requirements, designate specific Sessions Courts as Insurance Tribunals, and ensure timely appointments for tribunal members.

Additionally, the report advocates for extending the reach and scope of SDRCs, revisiting their financial thresholds periodically, and integrating digital operations to facilitate online complaint submissions and document exchanges.

To bolster coordination, SECP has proposed a formal mechanism for sharing information and integrating complaint data across SECP, the Federal Insurance Ombudsman, Wafaqi Mohtasib, Insurance Tribunals, SDRCs, and insurance firms.

The report also recommends including complaint volumes, resolution rates, disposal times, and emerging trends in the Insurance Industry Statistics Report to support evidence-based regulatory oversight.

To address jurisdictional overlaps, legal and administrative adjustments are suggested for redirecting complaints related to public-sector insurers to the Federal Insurance Ombudsman, following an agreement among the pertinent authorities. It also encourages grievance forums to publish timelines for complaint resolutions and for insurers to clearly communicate available grievance procedures to policyholders.

Furthermore, the report emphasizes the need for a coordinated public-awareness campaign and a more active role for the Insurance Association of Pakistan in fostering uniform complaint-handling practices throughout the industry.

SECP Chairman Dr. Kabir Ahmed Sidhu stated that the initiatives aim to reduce complaint-resolution durations, improve accountability, and provide policyholders with effective grievance redressal forums through enhanced coordination and technological solutions.

The report presents an action-oriented framework, assigning specific measures to relevant stakeholders to improve access to redressal and enhance the overall experience for policyholders.