Kathmandu. The Nepal Insurance Authority (INSURANCE) has issued a warning notice stating that it has received complaints of delay by the insurer in various works.
Issuing a notice today, the NRA has warned of taking action against the insurer if it is found to be doing so as it has received complaints of delay in various works. According to the NRA, complaints have been received that the insurers have been irregularly delaying the determination of liability as per the terms of the policy and fixing the liability in a way that hurts the insured.
Similarly, complaints have been received that surveyors were not deployed for damage assessment on time and the surveyors deputed did not submit the damage assessment report on time and asked for unnecessary documents.
According to the notice, the concerned insurer will be fined from Rs 200,000 to Rs 2 million in accordance with sub-section (3) of Section 138 of the Insurance Act, 2079.
Similarly, surveyors who delay these works can be fined between Rs 2,000 and Rs 25,000 as per sub-section (9) of the same section.
Therefore, the AUTHORITY has instructed the insurers to be aware of the legal system.
