Kathmandu: The Nepal Insurance Authority has issued circular to all the insurers to meet the compliance while issuing a new policy and obtain all the necessary documents. NIA has made it mandatory to collect the original proof of identity while mentioning the name of nominee or beneficiary of an insurance policy.
The regulatory authority has instructed all the workforce involved in policy underwriting including the agency to verify the details of the nominee after obtaining the original identity card issued by the Government body.
Last year, a youth Sarjan BK was killed by his so called wife to claim the sum assured of Rs.1.5 crore against his life insurance policy. Later, the investigation conducted by the Central Investigation Bureau(CIB) disclosed that BK was never married.
The Authority has made it mandatory to collect the original proof of relationship of the nominee with the policyholder when the insurance policy is issued with sum assured above Rs. 25 lakh.
The Authority has also instructed to take preventive measures to control money laundering and conduct more training and awareness program to the agency and employees against money laundering.
