Kathmandu: General insurers have received a total of Rs. 2.3 billion reinsurance commission in the first six months of the current financial year 2079-80. The reinsurance commissions are received over the total reinsurance premium paid by the ceding insurers to another insurer or reinsurer.
According to the unaudited financial statements for the second quarter, 18 general insurers received a total of 2.3 billion which is almost equal to the net profit for the second quarter. General Insurers have booked a net profit of Rs. 2.42 billion in the second quarter. The reinsurance commission is a pure income for the insurers.
In the current financial year, Shikhar Insurance earned the highest reinsurance commissions of Rs 346.2 million. Similarly, NLG Insurance Company earned Rs. 175.5 million while Himalayan Everest received Rs. 174.5 million. Sagarmatha Insurance Rs. 167.1 million, Neco Insurance Company Rs 162 million, Siddhartha Insurance Rs. 148.8 million, Lumbini Insurance Rs. 142.2 million, Sanima GIC Rs 142.4 million, IME General Rs. 124.4 million, Ajod Insurance Rs. 113.6 million, Premier Insurance Rs. 113.1 million, Rastriya Beema Company Rs. 94.46 million, Nepal Insurance Rs. 94.4 million, Prabhu Insurance Rs. 92.4 million, Prudential Insurance Rs. 79.1 million, The Oriental Insurance 74.4 million, United Insurance 64.8 million reinsurance commission. Among the general insurers, the National Insurance Company has the lowest reinsurance commission income of Rs. 5 lakhs.
Nepali insurance companies get most of the reinsurance companies through aviation reinsurance.
