Employee Benefit Costs at Life Insurers Rise 11.5% to Rs 5.18 Billion; Himalayan Life Tops the List

Kathmandu – Nepal’s 14 life insurance companies spent a combined Rs 5.1798 billion on employee benefits during the first nine months of FY 2025/26, according to their third-quarter financial statements. The expense, which includes salaries, allowances, bonuses and other employee-related benefits, increased 11.48% from Rs 4.6465 billion recorded in the corresponding period of the previous fiscal year.

Among all insurers, Himalayan Life Insurance reported the highest employee benefit expense, spending Rs 700.01 million during the review period, up from Rs 682.23 million a year earlier.

Nepal Life Insurance ranked second with employee benefit expenses of Rs 674.10 million, marking a 17.69% increase from Rs 572.28 million in the same period last year.

SuryaJyoti Life Insurance spent Rs 499.70 million, followed by National Life Insurance at Rs 397.90 million and Sanima Reliance Life Insurance at Rs 370.30 million, with all three companies reporting higher employee-related costs compared to the previous year.

Meanwhile, IME Life Insurance recorded employee benefit expenses of Rs 330.80 million, LIC Nepal spent Rs 320.60 million, Reliable Nepal Life Insurance reported Rs 319.90 million, and Prabhu Mahalaxmi Life Insurance incurred Rs 317.40 million.

Likewise, Sun Nepal Life Insurance spent Rs 285.30 million, MetLife Nepal Rs 281.20 million, Citizen Life Insurance Rs 276.50 million, and Asian Life Insurance Rs 269.00 million on employee benefits during the first nine months of the fiscal year.

Rastriya Jeevan Beema Company reported the lowest employee benefit expense at Rs 136.50 million. However, it posted the sharpest year-on-year increase, with employee benefit costs surging 93.29%.

In terms of growth rate, Reliable Nepal Life Insurance ranked second, recording a 28.68% increase in employee benefit expenses, followed by IME Life Insurance (19.21%), Nepal Life Insurance (17.69%), and LIC Nepal (14.07%).