Kathmandu. The Nepal Insurance Authority (INSURANCE) has directed all insurance companies to provide timely information about the amount of loan given to the insured in the protection of the policy, the method of calculation of interest, the timetable to pay the loan and the consequences of non-payment through electronic media or letter.
NeA has issued this directive to the insurers in the context of complaints that insurance companies are not giving adequate information to the insured regarding the calculation method of loan amount and interest to be paid during the recovery of loans provided in the insurance protection, and in the end, the insured and beneficiaries are suffering due to the maturity payment and deduction from the claim amount.
According to the directive issued by the AUTHORITY, the insurance companies have been directed to make arrangements to inform the insured through SMS or e-mail or letter at least 30 days before the end of the loan interest payment period. ’
NeA has also reminded that it is the duty of insurance companies to draw the attention of the insured by giving reminders or information for recovery of loans and interest.
