Nepal Insurance Authority Revises Financial Statement Format for Insurance Companies

Kathmandu – The Nepal Insurance Authority has issued a revised circular updating the format for quarterly financial statements for all life and non-life insurance company. The updated guidelines aim to provide clearer, standardized financial disclosures across the insurance sector, impacting non-life, life, and micro-insurance companies.

Under the new format outlined in Schedule 1 of Circular 2080, insurance companies must now include more detailed financial information in their quarterly reports. The revisions are intended to improve transparency and consistency in financial reporting, ensuring that stakeholders have access to comprehensive and accurate financial data.

In addition to routine financial disclosures, insurers are now required to submit a variance report. This report must compare figures across key sections, including the statement of financial position, statement of profit and loss, and the statement of other comprehensive income, specifically highlighting differences between the fourth quarter’s financial statements and the full annual report.