Process to Obtained a New Insurance Agent’s License

Rina khatri

Kathmandu : The Nepal Insurance Authority is going to start the insurance intermediary (agent) exam from November. The examination, which has been conducted by the company for a long time, will be taken by the authority from November.

As the framework for conducting the examination of the authority has not been prepared, even after the guidelines for the conduct of the Insurance Intermediary Agents examination, 2079, the responsibility of conducting the examination has been given to the companies themselves.

In the Insurance Act, there is also a provision that Insurance intermediaries must pass the prescribed examination before obtaining a license. Based on the same act, the authority is going to conduct the examination of insurance agents. Along with this, one can become an insurance agent of any insurance company only after passing the examination conducted by the authority.

It seems that the authority has taken a long time to adopt some procedure to manage the insurance agent’s license. According to the new rules, there is a provision that the agents must participate in the examination through the online medium.

Rajuraman Poudel, the executive director of the authority, says that using the authority given by section 166 of the Insurance Act, 2079, the examination is about to be conducted according to the directives of the board of directors.

We have prepared questions for the exam by focusing on the subjects that the agents will work on, and have also requested the agents to participate in the exam without panic. According to the new guidelines, the application has to be submitted through the online portal prepared by the authority to participate in the insurance agent examination.

Likewise, (2) certified copies of documents and proofs of qualifications and training of insurance agents must be submitted along with the application according to sub-section (1). Similarly, the examinee has to pay five hundred rupees for the examination fee for the examination program he/she wants to participate in through the prescribed electronic payment service provider (online payment gateway) to the authority’s bank account.

According to the guidelines, (3) after paying the examination fee according to sub-section (1), the examinee who could not participate in the examination for any particular reason submits an application to the authority explaining the reason for not being able to participate in the said examination and if the reason is found, the authority can make another arrangement for his examination.

How is the exam conducted?

The insurance agent exam will be conducted through electronic means. The examinee has to keep the video camera working so that the whole face is visible and the voice is heard throughout the examination period.

During the examination period, the alternate arrangement of electricity and internet shall be made by the examinee himself. The code of conduct related to the examination shall be as prescribed by the examination committee in order to make the examination dignified, disciplined and organized.

The head of the examining division may cancel the agent license of the examination authority of the examinee who acts contrary to the code of conduct according to the sub-section. In this way, the candidate should be informed about the reason for the cancellation of the exam.

Examination Procedure and Examination Conduct :

The examinee has to pay 500 rupees as examination fee for the examination program he/she wants to participate in through the designated electronic payment service provider “Online Payment Gateway” to the authority’s bank account.

The guidelines also provide that another person will not be allowed to take the exam with the exam fee collected for one person.

Similarly, the insurance agent exam will be conducted through electronic mode. The examinee has to keep the video camera working so that the whole face is visible and the voice is heard throughout the examination period. Candidates will have to make alternate arrangements for electricity and internet throughout the exam period.

A total of 50 objective questions of two marks will be asked in the insurance agent exam. And the time of that exam will be one hour and 30 minutes.

The results of the examination will be done by the insurance agent licensing division of the authority. The result will be placed on the authority’s website.

Similarly, candidates with 50 percent marks in the exam will be provided with a certificate of passing the exam through electronic means.

There will be a 6-member examination committee to administer the insurance agent examination in an orderly and dignified manner. The executive director of the authority will be the coordinator. The work, duties and rights of the examination committee have also been regulated by the guidelines.

It is mentioned in the guidelines that the program related to the examination and the same schedule should be published quarterly on the website of the authority 15 days before the examination. To participate in the insurance agent examination, the application must be submitted through the online portal prepared by the authority.

Such is the insurance agent course :

The authority has also prepared a course for insurance agents. The authority has prepared separate courses for life insurance agents and non-life insurance agents.

Life insurance agent exam syllabus includes risk and risk management, introduction to insurance, insurance agent, principles of insurance, insurance articles, life insurance documents, insurance fee and bonus, risk assessment, claims, marketing of life insurance, insurance agent and tax, insurance legal system and insurance market. It covers topics such as

Similarly, in the course of the non-life insurance agent exam, risk and risk management, introduction to insurance, insurance agent, principles of insurance, insurance articles, non-life insurance related documents, insurance fees and insurance rates, risk assessment, claims, marketing of non-life insurance, insurance agents and taxes, legal provisions related to insurance and Covers topics such as the insurance market.

What kind of candidates can take the exam?

There can be two types of examinees to take the insurance agent exam. The first insurance company gave them training and after passing, they made an agreement to work in the same insurance company and the second one did not have that type of agreement with any company and after passing, they made a mindset to join and work in the company they want.

Exams conducted in this way will also provide an environment for each person to work independently. The authority should also set a time limit within which the agent must have joined some company and started working within a certain period of time after passing the agent’s exam. It should be arranged that the work should be started within two years of passing, otherwise the license should be re-examined.

Who will get the license?

The insurance authority has set some criteria for license distribution. However, they are not enough. To which it is necessary to add something, license should not be given to people like police, army, armed police, Temple priests, who may abuse their power and do business on people.

Similarly, along with the license application, the authority must request a mandatory police report from the applicant. People who have committed murder, violence, human trafficking, robbery, kidnapping, misuse of public property, etc. should not get a life insurance license. Similarly, a blacklisted person should not get a license.

For this, along with the license application, the details of whether or not it is blacklisted should be requested. This process may be expensive for the licensee. However, it allows the presence of people who are willing and reliable to actually work in this market.

Licensing process :

After passing the examination conducted by the insurance authority, the person who wants to get an agent’s license should be given an insurance agent’s license and a working code for insurance only on the recommendation of an insurance company.

He passed the life insurance check taken by the authority and the result was received in his email. Now he wants to join Deurali Life Insurance Company and work as an insurance agent.

He passed the life insurance check taken by the authority and the result was received in his email. Now he wants to join Deurali Life Insurance Company and work as an insurance agent.

After the approval from the authority, he will be able to get the software from the company and work. After this, the company can provide additional training for the capacity development of other agents like Benup.