Star Health And Allied Insurance — senior citizen claim declined by star health

I had taken senior citizens red carpet health insurance policy for my mother in law through the tele-sales at policy bazaar.com and paid the premium for continuous 2 years. After paying the 2nd premium my mother in law had got some infection in blood and got admitted to hospital. My mil had gone through a surgery 2 years back which was completely cured and this ailment had no link wahtsoever with the previous line of treatment but still start health rejected the cashless claim. Then i was told by hospital that you can get re-imbursement once apply for the same. I got all the documents submitted just to be told that although this ailment is not related to the previous hospitalization but still they cannot re-imburse as it was not disclosed. I think these health insurance companies are fleeing hard earned money of people and are unethical in their conduct. I hope there is some regulatory body which looks into these ir-regularities of star health insurance company.
Regards
Joy