Kathmandu: The Insurance Board mulls to arrange and release funds for the settlement of long pending Covid19 Insurance claim. It aims to distribute Rs.1.82 billion for partial settlement.
The Board has received Rs.1 billion from the Government. It aims to distribute Rs. 1.82 billion for partial settlement of the pending claims. It has requested Nepal Reinsurance(Nepal Re) and non life insurers to allocate additional Rs.21.81 crore and Rs.45.45 crore respectively. The Board has mentioned that it will provide Rs.14.54 which accounts 8 percent of the total distributable fund. The fund received from the Government has been considered as 55 percent of the total funds to be distributed.
The Board has announced that the payment will be made based on the early claim submission date.
According to the Covid19 Insurance Guide 2077, a total of 17,58,343 people were insured under Covid19 insurance plan. The insurance companies had received a total of Rs. 15 billion 82 crore 21 lakh 71 thousand against 1,65,059 claims. Out of which, Rs. 3 billion 50 crore has already been paid by the non-life insurers with the contribution from Nepal Reinsurance and the Insurance Board. But the Government deceived insurers to release funds as per its commitment for the Insurance Pool. Still Govt owes liability of Rs. 12 billion for Covid19 claim.
According to the Corona Insurance standard, the government has to bear all the liability above Rs. 3.50 billion, but it has been hesitating to release funds for payment.
