{
  "id": 2092217,
  "title": "SECP Proposes New Insurance Rules For Faster Claims And Better Consumer Protection",
  "url": "https://urgent.news/2026/08/20/secp-proposes-new-insurance-rules-for-faster-claims-and-better",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-20T06:42:06.000Z",
  "source": {
    "name": "ProPakistani",
    "slug": "propakistani",
    "url": "https://propakistani.pk/2026/08/20/secp-proposes-new-insurance-rules-for-faster-claims-and-better-consumer-protection/"
  },
  "original_language": "en",
  "account": "The Securities and Exchange Commission of Pakistan (SECP) has introduced new insurance market conduct rules in 2026 to enhance consumer protection within the insurance sector. These proposed rules are currently open for public consultation and would primarily apply to individual insurance policies. They aim to establish clear responsibilities for insurers and greater transparency by requiring insurers to disclose claims data on their websites.\n\nLife insurance claims would need to be decided within 20 days of insurers receiving all necessary documents. Motor insurance claims should be resolved within five days of a survey report, while other non-life insurance claims must be processed within seven days of the survey report. Insurers would have seven days to make payments once a claim is approved. In the case of hospitalized patients, health insurance claims would need to be settled within 20 days, with insurers required to clear patients' discharge within three hours to prevent any hospital departure delays caused by insurance-related issues.\n\nThe draft rules restrict insurers from requesting irrelevant documents and mandates the publication of claims data (settled, rejected, and pending) on their websites, including the percentage of claims remaining pending for over a year. Insurance companies will also be required to issue new policy documents within specific timeframes, based on the policy type and application method. For instance, life insurance policyholders would receive their policy documents within 20 days, while those purchasing through digital channels would get their policy documents within three days. Motor insurers would need to disclose the current market value of the insured vehicle and explain the implications of overinsurance and underinsurance to policyholders. In approved motor insurance claims, repairs must generally be completed within 15 days.\n\nAdditionally, non-life insurance policyholders would gain the right to cancel policies without providing a reason. Violations of these proposed rules could result in penalties up to Rs. 1 million for the first offense and an additional Rs. 10,000 per day for any subsequent violations. The SECP has invited public and stakeholder feedback on the draft rules, which they will review within 30 days before presenting the final proposal to the SECP Policy Board for approval.",
  "summary": "The Securities and Exchange Commission of Pakistan has proposed new rules aimed at strengthening consumer protection in the insurance sector, … Read More The post SECP Proposes New Insurance Rules For Faster Claims And Better Consumer Protection appeared first on ProPakistani .",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}