The Insurance Board (IB) has reopened the long-suspended COVID-19 insurance claim settlement process.
According to the news site MyRepublica, the IB has started making payments despite a large shortfall in money allocated for the purpose by the Ministry of Finance (MoF). The IB says that the MoF has only contributed INR1bn ($7.75m), despite the fact that COVID-related insurance claims were more than INR11bn.
The delay in resolving insurance claims is attributed to a lack of agreement among the IB, the MoF, and insurance firms.
According to a representative of the IB, in order to hasten the settlement of insurance claims, the Board had conversations with the Nepal Insurers' Association.
The IB official claims that the concerned insurers, the Nepal Reinsurance Company, and the IB have all agreed to contribute NPR818.10 million to the money that the MoF has already provided.
The contributions will be split as follows: 8% will come from the IB, 12% from Nepal Reinsurance Company, and 25% from the insurance firms out of the total NPR1.818 billion available.
The issue has not been resolved, according to the IB's executive director, Mr. Raju Raman Poudel.
0 Comments