Insurance Authority Board Inactive for Two Months, Disrupts Key Policy and Administrative Works

Kathmandu — Several crucial policy and administrative functions of the Nepal Insurance Authority (NIA) have been disrupted due to the Authority’s failure to convene its board meeting for over two months. The board, which last met in Bhadra, has not held a session since then, halting numerous decision-making processes.

According to an employee of the Authority, the delay began following the appointment of the current chairman, who has reportedly been unable to attend office regularly. The absence of leadership has affected the day-to-day operations of the regulatory body, including file approvals and policy discussions.

Insurance Authority Director Santosh Rijal confirmed that no board meetings have been conducted since Bhadra. He added that the last meeting involved only general discussions and no major decisions were made.

Although the Insurance Act 2076 BS outlines the board’s structure and authority, the prolonged inactivity has hindered the progress of several administrative and policy-related matters. “Even though the board doesn’t hold full authority over all policy decisions, some essential tasks have been stalled,” said an official at the Authority.

Newly appointed chairman Janakraj Sharma, who took office on Ashoj 10 (September 26) upon recommendation from the Ministry of Finance, has also been unable to allocate time for the Authority due to foreign commitments. Since his appointment, no board meeting has been held. At present, the board consists of three directors, including Sharma.

As a result, many important files remain pending at the Authority, creating administrative backlogs. Officials have attributed the inaction partly to internal disputes within the institution, further delaying the board’s ability to function effectively.

The Insurance Authority, being a quasi-judicial body, also plays a critical role in handling complaints from insured individuals and resolving disputes related to insurance claims. Previously, the Authority had established a formal system to form benches and debate claim-related issues as per the Insurance Regulations. However, with the board inactive, the resolution of such complaints has slowed significantly.

Officials warn that if the Authority fails to resume its board meetings soon, complainants may be compelled to seek justice through the High Court — an option that could have been avoided if the Authority were operating smoothly.