Kathmandu. Insurance literacy is an integral part of insurance inclusion. Insurance literacy and inclusion are considered important pillars of economic growth and poverty alleviation.
Access to insurance is still not easy, especially in the remote rural areas of Nepal. For this, the Nepal Insurance Authority and insurance companies have been conducting literacy campaigns. Works like promoting micro-insurance business have also been done to make insurance accessible to the people of low-income group.
The Insurance Authority has recently prepared a draft of the Insurance Literacy Framework, 2083. The NRA has also sought suggestions from the stakeholders in this regard.
It has been mentioned in the draft that insurance literacy can be conducted through various means. The medium of delivery is the formal educational curriculum, social media and digital platforms, traditional and mass media, institutional distribution channels, and partnership delivery channels.
Distribution medium and justification
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Formal Educational Curriculum: Insurance, risk management, and financial planning can be included in the curriculum, textbooks, and extracurricular activities of various levels of schools and universities. This medium will help in building a positive insurance mindset in the future generation.
Social Networks and Digital Mediums: Digital Mediums (}} can be disseminated in Nepali and local languages through social networks, mobile apps and online portals such as Facebook, Tiktok, and Intermediaries through Nepal Insurance Authority, Insurers and Intermediaries (Agents). This allows for rapid beam awareness.
Traditional and Mass Media: Traditional mass media are the most reliable channels for people in remote, rural and backward areas who lack digital access. National and local newspapers, radio, FM, television and street plays can also be used to create awareness programs about the benefits of insurance and claim process in local languages. This will help to increase people’s confidence in insurance at the rural level.
Institutional Distribution TAG_CLOSE_span_19Channel: Insurance literacy programs can be conducted through the Insurance Authority of Nepal, Insurers and other insurance related institutions. Insurers can directly disseminate insurance knowledge through their branch offices by conducting customer interaction programs, providing information about the insurance claim process, presence of other organizations in the villages and mobilizing insurance literacy materials.
Partnership Distribution Channel: Partnerships with local governments and community organizations can be an important tool to bring insurance to the grassroots and ensure financial inclusion. Orientation, interaction, and training programs can be organized through the local level targeting workers in the informal sector, women’s groups, agricultural cooperatives and vulnerable marginalized communities.
