Insurance Companies Still Focused on Capital, Bagmati Province Records Highest Premium Collection

Kathmandu – Despite repeated directives from the Nepal Insurance Authority to expand operations into rural regions, the majority of insurance companies continue to focus their business within Bagmati Province, particularly the Kathmandu Valley.

According to financial data released by the Authority, insurance companies across Nepal collected a total of Rs 159.8 billion in premiums up to end of Chaitra of the current fiscal year. Of this, life insurance companies accounted for Rs 127.3 billion, while non-life insurance companies earned Rs 32.81 billion.

Bagmati Province alone contributed over 40 percent of this total, indicating a high concentration of insurance activities in the capital region. Life insurance companies generated Rs 56.79 billion from Bagmati, making it the province with the highest life insurance business. Companies attribute this to the region’s economic prosperity and dense population.

Other provinces lag significantly behind: life insurance premiums collected amounted to Rs 15.31 billion from Koshi, Rs 11.16 billion from Madhesh, Rs 12.76 billion from Gandaki, Rs 19.78 billion from Lumbini, Rs 3.6 billion from Karnali, and Rs 7.6 billion from Sudurpaschim province.

Non-life insurance companies also saw the highest earnings from Bagmati, collecting Rs 22.10 billion. Other provinces collected Rs 2.86 billion from Koshi, Rs 2.15 billion from Madhesh, Rs 1.70 billion from Gandaki, Rs 2.85 billion from Lumbini, Rs 306.8 million from Karnali, and Rs 824.7 million from Sudurpaschim Province.