Cultivation of Awards in the Insurance Sector, Rotating Cultivation of Insurance Authorities

Kathmandu : The issue of insurance companies going to India to receive awards or honors from foreign bodies is currently going viral on social media. Recently, there has been a discussion in the market that insurance companies have accepted international awards by spending money.

But, the regulatory body that issued the same directive the Insurance Authority and the Insurance Institute Nepal are busy traveling abroad. Their passion for foreign travel is no less than that of high-ranking businessmen and other distinguished diplomatic personalities.

In particular, it is understood that this visit was organized by Insurance Institute Nepal. A dozen companies came from Nepal to receive the award. All the companies have returned to Nepal after accepting the award.

Not only in international tours, but also in Nepal, it has been seen that the highest levels of authorities are visiting. According to a senior official of the Insurance Authority, Chairman Surya Prasad Silwal and Executive Director Rajuraman Paudel are currently in Karnali Province for insurance awareness.

More than a dozen works have been stopped when both high-ranking employees of the authority locked themselves in their offices. The employees of the authority have become agitated about this issue.

An employee has informed Bimapost that due to such actions of the high-level person of the regulatory body, there will be obstacles and bottlenecks even in the regular work. The Insurance Authority, which teaches to act according to the Insurance Act, has now become the regulator that violates the rules.

They are complaining that they are not present in the office to sign even after going beyond the insurance act. Chairman Silawal and Executive Director, who returned to regular work after completing a foreign tour program, the visit from last Friday is ending today.

While the office head of the provincial office of the authority is struggling to run the office, the process of doubling the expenses from the regulatory body has not stopped.

According to the Act, insurance companies will not be allowed to receive awards or honors from any foreign body only on the basis of direct or indirect financial assistance, donation or any other type of fee or financial contribution.

In a directive issued by insurance companies in the past, 2 percent of the profit of the last financial year of banks and financial institutions should be spent on training for enhancing the capacity of employees.Based on this, most of the presidents and chief executives of insurance companies used to go on foreign trips with their families in the name of receiving various awards or honors.

Moreover, two years ago, an insurance company spent 15 rupees to get an award from Europe, according to sources, the supervision team of Central Bank found it. However, the practice of receiving foreign awards in Nepal and spending a lot of money for it has recently been seen by banks that are struggling to establish their brand, investing for such awards and having a grand banquet after receiving them.

There is a provision in the Act that the permission of the Insurance Authority should be obtained in order to receive a prize from any foreign organization. An official of the Ministry of Finance told Bimapost that it is necessary to understand the legal status and condition of the awarding organization before accepting the award.