SECP calls for more insurance tribunals and digital complaints system

The Securities and Exchange Commission of Pakistan (SECP) has recommended a significant expansion of the country's insurance grievance redressal infrastructure, calling for more insurance tribunals, additional small dispute resolution committees and an integrated digital complaints system.

The recommendations are set out in a report titled "Strengthening Insurance Grievance Redressal in Pakistan: Current Status and Strategic Way Forward," which Dawn reported on Wednesday. The report reviews the mechanisms currently available to policyholders and found that together they received 37,029 complaints in 2025.

The commission said the existing arrangement is not sufficient to resolve policyholders' grievances quickly and fairly across the country. It proposed setting up additional insurance tribunals and small dispute resolution committees in areas with the heaviest caseloads. The report also recommends linking all complaint channels through a single digital platform, which would allow policyholders to file a complaint, track its progress and escalate it to a higher forum online.

The existing redressal system includes insurance tribunals that adjudicate disputes between policyholders and insurers, as well as small dispute resolution committees that handle smaller claims through mediation. According to the report, the capacity of these bodies has not kept pace with the volume of complaints, leading to delays. An integrated digital system would give the SECP and the tribunals a shared record of each complaint, reducing duplication and making the process more transparent.

Dawn reported that the SECP has shared its recommendations with the federal government for follow-up. The report, as published, does not specify how many new tribunals or committees should be created, where they should be located, or what the digital system would cost. It also does not give a timeline for implementing the changes.