Irdai Slaps Rs 3.39 Crore Fine on Star Health for Cyber Security Breaches

The Insurance Regulatory and Development Authority of India (Irdai) imposed a substantial fine of Rs 3.39 crore on Star Health and Allied Insurance due to multiple infringements of Information and Cyber Security Guidelines. Additionally, Star Health received a cautionary notice from Irdai concerning these violations.

The Insurance Regulatory and Development Authority (Irdai) has fined Star Health and Allied Insurance Rs 3.39 crore for non-compliance with Information and Cyber Security Guidelines. This penalty, accompanied by a warning, highlights the regulatory body's commitment to enforcing cyber security measures in the insurance sector.

Star Health, a leading health insurance provider with a vast distribution network of 913 offices and over 14,000 partner hospitals, was found to have breached several guidelines according to Irdai's 2023 order. The insurer's network also includes more than 7,75,000 licensed agents and 17,000 employees nationwide.

With a gross written premium of Rs 17,553 crore and net worth amounting to Rs 8,668 crore for the financial year 2024-25, this penalty serves as a stern reminder for the company to bolster its cybersecurity measures and adhere strictly to regulatory standards.

(With inputs from agencies.)