Auditor General Urges Action on Over Rs 1 Billion Pending Life Insurance Claims

Kathmandu — The Office of the Auditor General Nepal has called on the Nepal Insurance Authority to step up its monitoring efforts after it was found that life insurance companies have yet to settle claims worth over Rs 1.19 billion, some of which have been pending for more than a year.

The 62nd annual report revealed that insurance companies still owe payments under fully matured policies, settlement claims, surrender claims, and death claims. Among the total, Rs 373.7 million relates to policies that have already matured but remain unpaid.

The report further notes that some insurers appear to be using these unpaid amounts for their own operations, raising concerns over the lack of timely settlement. However, the Insurance Authority has so far not made formal inquiries into the delays or issued clear instructions to the companies involved.