Kathmandu: The Insurance Board has issued institutional agency license to digital payment service provider Esewa. The IB has issued the license to E-sewa as per the ‘Directives on Institutional Insurance Agents 2078’.
E-sewa, a payment service provider(PSPs), will now be able to sell insurance policies of various insurance companies through its digital platform. E-sewa is the first PSPs to get institutional agency license.
E-sewa will not be allowed to forcefully sale its customers to buy insurance policies.
It is expected that through the massive exploitation of digital platform of PSPs, the penetration of insurance coverage will be broaden. On the other hand, the PSPs can not bargain insurance companies for undue incentives as the individual agency does.
When the IB issued the Directives with the provision of agency license for digital PSPs, the association of professional agents had strongly protested.