Nepal Insurance Authority Engages Insurers and Surveyors to Expedite Claim Settlements
Kathmandu — The Nepal Insurance Authority (NIA) has initiated discussions with the chief executives of non-life insurance and reinsurance companies, as well as the Insurance Surveyors Association of Nepal, to address challenges in processing insurance claims arising from damages caused during the recent nationwide movement.
At a meeting held Sunday at the Authority’s central office in Kupandol, CEOs of non-life insurers stressed that while smaller claims could be settled promptly, larger claims would require upfront support from reinsurers under existing provisions. They also raised concerns about the difficulty of obtaining survey reports and official recommendations in areas where ward and police offices had been damaged, urging the Authority to allow claim settlements based on minimum documentation in such special circumstances.
Reinsurers, on their part, emphasized the importance of reliable data in underwriting and reaffirmed their readiness to cooperate with insurers to ensure timely claim payments and liquidity support.
Executive Director of the NIA, Sushil Dev Subedi, instructed insurers to designate focal persons for data collection and to ensure that insured individuals are informed swiftly about the status of their claims. He further directed companies to maintain public confidence by demonstrating that insurance commitments will be honored. “The Authority will implement the simplified claim payment procedures provided in the Insurance Regulations, 2081, to address damages caused by non-natural disasters,” Subedi stated, asking insurers and reinsurers to submit their recommendations within three days.
In a separate meeting with the Insurance Surveyors Association of Nepal, surveyors called for practical arrangements to submit reports based on minimal documents, equitable distribution of survey work, easier access to damaged areas, and stronger accountability mechanisms. They also highlighted the urgent need to expedite claims given the current crisis.
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Executive Director Subedi assured the association that surveyors could carry out their responsibilities under their existing licenses and reiterated that the Authority is preparing to adopt abbreviated claim settlement procedures in line with the regulations.
The discussions were attended by NIA Directors Nirmal Adhikari, Shambharaj Lamichhane, and Pujan Dhungel Adhikari, along with senior executives from insurance and reinsurance companies, and representatives of the Insurance Surveyors Association.