Dark Patterns Inflate Insurance Premiums: Buyer Beware
Man at laptop encountering “dark patterns” while buying health insurance online.
Key Highlights
Beware of dark patterns inflating insurance premiums! Pre-ticked add-ons & hidden renewals can cost you more. Irdai urges insurers to eliminate these deceptive tactics.
Consumers purchasing insurance online should be aware of manipulative designs known as dark patterns that can inflate premiums. These tactics include pre-ticked add-ons and hidden renewal tweaks.
The Insurance Regulatory and Development Authority of India (Irdai) is calling on insurers to eliminate these dark patterns from their online sales processes.
Dark patterns are digital nudges that can trick users into making unintended choices, often leading to higher costs. In the insurance sector, these patterns can manifest as automatically selected add-ons or obscure renewal options that increase the overall premium.
Irdai’s directive aims to protect consumers from these deceptive practices and ensure transparency in online insurance sales.