Sundaram who is an agent of XYZ insurance company persuaded Alok to purchase a Unit linked insurance policy from XYZ insurance company. During persuasion, he advised Alok to buy this Unit linked insurance policy with the

Treating Customers Fairly principle aims to raise standards in the way financial institutions carry on their business by introducing changes that will benefit consumers and increase their confidence in the financial services industry. This is a customer centric initiative aimed at improving the image and reputation of financial institutions by recognizing the customers as one of the key stakeholders carefully and giving them the deserved treatment. This assumes most importance in the financial services industry keeping in mind that the customers park their hard earned money with them and rely on them on the basis of their quality. Moreover, a small dissatisfaction could lead to an irreparable damage to the institutions as well. Mr. Sundaram was not fair in his dealing with his client Mr. Alok, as he left his insurance agency to take up another job without thinking about his clients at least in the post sales services obligation. This would result in customer loosing faith on agents, thereby effecting the reputation of the company. Further, commitment of Sundaram to Mr. Alok by saying that the ULIP policy give guaranteed return is also wrong and misleading.