Kathmandu. One thing that is clear from the history of global insurance is that mature insurance markets are not based solely on insurance products, capital, or regulation. They are built on the trust of consumers. When the insurer provides all the information related to the insured in a visible, comparative and accountable manner, then only the foundation of trust is built.
Nepal’s insurance market, which is relatively small compared to the global insurance market, now has an opportunity. What happens if each insured can see a simple public notice board showing his or all of the insured’s true status?
- Which companies have how many claims outstanding to pay?
- How long does it actually take an insurer to settle a claim?
- Which companies are not just selling insurance but building real trust?
Which insurers are settling insurance claims on time?TAG_OPEN_li_35
Which insurance policies are reaching rural populations, workers, women, small businesses, and climate-vulnerable communities?TAG_OPEN_li_32
Globally, insurance supervision is moving towards stronger insured protection, better disclosure, fair dealing, and responsible market practices.TAG_OPEN_li_30
Issuing a circular in the name of insurers, Nepal Insurance Authority (NIA) has directed the government to set up a transparency dashboard with important indices and details. Its implementation is expected to contribute to transparency and credibility. Some of the insurers have already implemented it, while some are still waiting for the 60-day deadline.
The regulatory action against the insurers in the month of April-May and the filing of serious criminal cases against the operators of the insurers in the court has proved the extreme lack of transparency in the insurance sector in Nepal.
The Insurance Core Principles proclaimed by the International Association of Insurance Supervisors (IAIS) and the World Bank’s Financial Consumer Protection Act point to the same truth: Trust must be earned, not demanded.
Nepal has a rare opportunity to move from regulation to visible accountability as the Insurance Authority’s new focus is on claim settlement, public trust, digital transformation, risk-based supervision, micro-insurance, and seasonal indices.
- A public claim-payment score table.
- An Insured’s Grievance Hearing Progress Tracker.
{{TAG_OPEN_li_29}A National Insurance Transparency Information Board (Dashboard).
{{TAG_OPEN_li_26}A simple confidence index for insurance companies.
Because insurance is a long-term commitment and in the digital age, every commitment should be clear, measurable and identifiable.
