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Covid-19 Insurance Claim Amount Exceeds Premium Collection

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Covid-19 Insurance Claim Amount Exceeds Premium Collection
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December 15: The insurance claim amount for Covid-19 Insurance Policy has exceeded the insurance premium. Of late, the number of people purchasing the Covid-19 insurance policy is getting less while the number of people claiming settlement amount has been increasing.

Non-life insurance companies have expedited the process of claim settlement as per the government’s directive. As a result, the number of claims settlements has increased significantly.

According to the data provided by Nepal Insurers Association, so far the insurance companies have collected insurance premium worth Rs 990 million. The association informed that the insurance companies have already settled claims by compensating the claimants with Rs 1.29 billion rupees. Altogether 10,565 persons have claimed the amount, according to the association.

“The collection of insurance premium has declined due to news regarding the delay in claims settlement. However, the claimants are increasing day by day,” said Chankey Chhetri, spokesperson of Nepal Insurers Association.

According to the association, they are yet to compensate the claimants with billions of rupees. Data maintained by the association show that more than Rs 3 billion is due for compensating 31,236 beneficiaries who had purchased the insurance policy.

The insurance companies say that they have expedited the process of claims settlement following instructions from the Ministry of Finance.

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