Nepal Insurance Authority to Introduce Procedure for Quick Insurance Claim Payments to Bhote Koshi Flood Victims
The Nepal Insurance Authority is preparing to implement a separate procedure to provide quick and hassle-free insurance claim payments to victims of the Bhote Koshi flood. Under this procedure, victims will not have to complete complex paperwork, and insurance companies can pay compensation based on recommendations from government agencies.
Kathmandu. The Nepal Insurance Authority is preparing to implement a separate 'claim procedure' to provide quick and hassle-free insurance claim payments to victims who suffered damage from the devastating flood in Rasuwa on last Bhadra 10 (August 26).
According to the procedure being prepared as per government directives, victims who lost insurance-related documents due to the severe glacial flood in the Bhote Koshi River in Rasuwa on Bhadra 10 will no longer have to complete complex paperwork.
Insurance companies will be able to pay compensation or life insurance claims based on recommendations and evidence issued by any one government agency among the National Disaster Risk Reduction and Management Authority, District Administration Office, concerned local level (village, municipality, or ward), or Nepal Police.
"Due to the extraordinary situation, homework is being done to bring a procedure for the relief of affected people as per the directives of the Government of Nepal," said Sushil Dev Subedi, Executive Director of the Nepal Insurance Authority. "For this, we have also received suggestions from insurers."
The procedure is being prepared to be implemented as a conditional advance payment to make claim and compensation arrangements transparent. If in the future it is confirmed that persons reported missing or property reported damaged are found safe, there is a possibility of including a condition in the procedure to refund the amount received as insurance.
According to the National Disaster Management Authority, the status of 5,745 people who went missing due to landslides and inundation caused by the Bhote Koshi flood is still unknown. While the bodies of 1,451 people who died in the flood and landslides have been found, only human organs of 530 people have been found, so they could not be identified. According to preliminary details provided by non-life insurers, claims for compensation exceeding 17 billion rupees are estimated, including motor vehicles, warehouses, hydropower projects, industries, and shops.