Policyholders Shouldn't Pay Twice, MillenniumPost Reports: What Insurance Buyers Should Check

MillenniumPost reports that policyholders must not be made to pay twice. In plain words, you shouldn't be charged again for the same cover or the same cost.

For you, this means a simple check. Look at your insurance bills and your bank debits. If you see a repeat charge, ask for a refund in writing. The headline doesn't give full details, so we won't guess them.

Key takeaways

• MillenniumPost reports that policyholders should not have to pay twice.
• A double charge can happen through auto-debit, manual payment or a billing error.
• Check your bank statement against each policy every few months.
• Ask for a refund in writing and keep proof of both payments.
• If the insurer doesn't fix it, you can take the matter to the regulator.

What does paying twice mean for policyholders?

Paying twice can show up in a few ways. The most common one is a repeat premium debit. A premium is the money you pay to keep your cover alive.

It can also mean paying a bill upfront and then waiting a long time for it to come back. Or it can mean paying a fee again for the same service. We don't know which case MillenniumPost is pointing to. So treat this as a reminder to check, not as news of a new rule.

How a double charge usually happens

Most double charges come from small slips. Here are the usual ones:

1. You set up auto-debit and also pay by hand near the due date.
2. A payment fails on screen, but the money still leaves your account.
3. You renew through an agent and also through the insurer's app.
4. A policy is moved or changed, and the old one keeps billing you.

None of these are your fault in most cases. But you're the one who has to spot them and ask for a fix.

What a repeat payment costs you: a worked example

Say your health policy premium is ₹18,000 a year. You set up auto-debit. Then you pay by hand too, just to be safe. Here's how it adds up. This example is made up to show the maths.

Item	Amount
Premium actually due	₹18,000
Auto-debit taken	₹18,000
Manual payment made	₹18,000
Total money out of your account	₹36,000
Refund you should get	₹18,000

That extra ₹18,000 is yours. If it stays with the insurer, you lose the use of it. If it leaves your account when funds are low, it may bounce an EMI. You can use our EMI calculator to see what a missed payment could cost. If you feel tempted to borrow to fill the gap, read our personal loan guides first.

Who is affected

Anyone who pays for insurance can be affected. That includes health, life, motor and travel policies.

People with auto-debit set up on more than one card or account are at higher risk. So are people who renew online and by phone. Families with many policies can miss a repeat charge in a long statement.

Senior citizens who pay large health premiums feel the most pain. A single duplicate can be a big sum for them.

What to do now

You don't need to panic. Just follow these steps:

1. Open your last three months of bank statements.
2. Match each insurance debit to one policy and one due date.
3. If you find a repeat, note the date, amount and reference number.
4. Email your insurer and ask for a written refund with a time limit.
5. Keep screenshots of both payments.
6. If the insurer doesn't act, write to its grievance officer. After that, you can approach the insurance regulator, IRDAI, through its complaint system.

Also, pick one way to pay each policy. Either use auto-debit or pay by hand, but not both. For more stories like this, visit our news hub.

Frequently asked questions

What should I do if my insurer charged me twice?

Write to the insurer with proof of both payments. Ask for a refund in writing. If there's no reply in a reasonable time, go to the grievance officer.

Can I cancel a policy if I paid by mistake?

Usually you get a free-look period after buying a new policy. It's typically 15 days. But a repeat payment on a policy you want to keep should simply be refunded.

Is this report a new rule from the regulator?

The headline alone doesn't say. MillenniumPost reports that policyholders must not pay twice. Check the insurance regulator's website for official circulars before you act on any rule.