The torrential rain and floods that hit Rasuwa on Asar 23 have triggered insurance claims worth nearly Rs 843.8 million. According to data published by the Nepal Insurance Authority, 11 non-life insurance companies have received a total of 68 insurance claims as of Shrawan 8.
Himalayan Life faces the biggest blow
Among the companies, Himalayan Life Insurance has received the highest claim amount Rs 550 million from just two claims. This is followed by Shikhar Insurance, which received 12 claims totaling Rs 168.5 million, and Neco Insurance with Rs 51.2 million from 3 claims.
Company-wise breakdown of claims
- Sagarmatha Lumbini Insurance: Rs 26.5 million from 2 claims
- Nepal Insurance: Rs 12.8 million from 12 claims
- United Ajod Insurance: Rs 9.1 million from 3 claims
- IGI Prudential Insurance: Rs 7.55 million from 9 claims
- Sanima GIC Insurance: Rs 7.5 million from 6 claims
- NLG Insurance: Rs 4.7 million from 6 claims
- Siddhartha Premier Insurance: Rs 3.1 million from 6 claims
- Prabhu Insurance: Rs 2.8 million
What types of insurance are affected?
The majority of the claims are under:
- Property insurance: Rs 580.1 million from 6 claims
- Marine insurance: Rs 162.3 million from 7 claims
- Engineering & contractor’s risk: Rs 54 million from 3 claims
- Motor insurance (Public): Rs 25.9 million from 38 claims
- Motor insurance (Private): Rs 21.4 million from 14 claims
| S.N. | Insurance Company | Number of Claims | Claim Amount (NPR) |
|---|---|---|---|
| 1 | Himalayan Everest Insurance Ltd. | 2 | 550,000,000.00 |
| 2 | Shikhar Insurance Co. Ltd. | 12 | 168,500,000.00 |
| 3 | Neco Insurance Co. Ltd. | 3 | 51,200,000.00 |
| 4 | Sagarmatha Lumbini Insurance Ltd. | 2 | 26,500,000.00 |
| 5 | Nepal Insurance Co. Ltd. | 12 | 12,800,000.00 |
| 6 | United Ajod Insurance Co. Ltd. | 3 | 9,100,000.00 |
| 7 | IGI Prudential Insurance Ltd. | 9 | 7,550,000.00 |
| 8 | Sanima GIC Insurance Ltd. | 6 | 7,500,000.00 |
| 9 | NLG Insurance Co. Ltd. | 6 | 4,700,000.00 |
| 10 | Siddhartha Premier Insurance Ltd. | 6 | 3,100,000.00 |
| 11 | Prabhu Insurance Ltd. | – | 2,800,000.00 |
| Total | 61 | 843,810,000.00 |
| S.N. | Type of Insurance | Number of Claims | Claim Amount (NPR) |
|---|---|---|---|
| 1 | Property Insurance | 6 | 580,100,000.00 |
| 2 | Marine Insurance | 7 | 162,300,000.00 |
| 3 | Engineering & Contractor Risk Insurance | 3 | 54,000,000.00 |
| 4 | Motor Insurance (Public) | 38 | 25,900,000.00 |
| 5 | Motor Insurance (Private) | 14 | 21,400,000.00 |
| Total | 68 | 843,810,000.00 |
Insurance authority urges swift payment
The Nepal Insurance Authority has instructed all insurers to process and settle these claims as quickly as possible, ensuring timely compensation for the damages.
While these massive claims highlight the role of insurance in disaster recovery, they also pose financial pressure on insurance companies. Investors in the insurance sector, particularly those holding shares of Himalayan Life, Shikhar Insurance, or Neco Insurance, should closely monitor the companies’ claim settlement capacity, cash flow impact, and Q1 financial disclosures.
