Layer 4 · CROs · Board · Sales — business case for compliance
IRDAI Penalty & Enforcement
Insurance Act penalty machinery applied to cyber and IT failures, with recent actions.
| Violation Type | Penalty Quantum | Authority | Recent Precedent |
|---|---|---|---|
| Non-compliance with IRDAI directions (incl. cyber guidelines) | Up to ₹1 lakh per day, capped at ₹1 Cr per violation (Insurance Act §102) | IRDAI | Penalty and direction orders for IT/outsourcing lapses, 2023-24 |
| SAR non-submission / delayed filing | Directions, caution letters, escalating penalties | IRDAI | Caution letters to insurers for delayed security audit filings |
| Policyholder data breach | Insurance Act penalties + DPDP exposure up to ₹250 Cr | IRDAI + DPBI | Health-insurer breach (2024) triggered multi-regulator scrutiny |
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Sign in to unlockQuanta reflect the Insurance Act 1938 framework; verify specific orders on irdai.gov.in.