Kathmandu: Life insurance companies have managed to increase the number of policies by 26.73 percent in a year. The companies have issued 89.19 million life insurance policies in the first four months of the current fiscal year 2078/79.
During the period under review last fiscal year, insurance companies had issued 7 million 38 thousand policies.
The number of term life insurance policies has declined during this period. Life insurance companies have issued 627,000 term policies in a period of four months. In the same period last year, 801,000 term policies were issued.
Life insurance companies have also been able to increase their net premium income by 23 percent. Life insurance companies have earned net insurance premium of Rs. 48.32 billion within first four months of current fiscal year 2077/78.
Similarly, non-life insurance companies have also managed to increase their non-life insurance policies by 34.63 percent in the first four months of the current fiscal year. They have managed to increase their net premium income by 27.36 percent during the same period.
According to the Insurance Board, 29.81 percent of the population is covered by insurance. If the number of foreign employment insurance policies is to be reduced, the range will be limited to 21.55 percent, the committee said. The number of offices of insurance companies has increased by 32 percent in one year. At present, insurance companies have 3,738 branch offices.
The paid-up capital of life insurance companies increased by 17 percent while that of non-life insurance increased by only 7.96 percent. At present, the total paid-up capital of life insurance companies is Rs 39.44 billion, while that of non-life insurance companies is Rs 19.84 billion.