Kathmandu. Birendra Baidyawar, president of the Insurance Association of Nepal, has said that the insurance claims of small nature insurance will be paid till Tihar.

Speaking at an interaction programme organized by the Association of Economic Journalists of Nepal (EJJ) here today, Minister Khatiwada said that even though the private sector has suffered a loss of Rs 80 billion due to the Genji movement, the insurance claims of small nature will be paid till Tihar.

“A total claim of Rs 22.25 billion has been received till September 19. This is in addition to government property. Out of the estimated loss of Rs 80 billion by the private sector, only 20÷25 percent has come under the insurance coverage. There are also two or three of them of high profile. If we remove the high profile, our position is only 12÷13 per cent under the ambit of insurance,” he said.

According to Vaidyawar, so far 2478 insurance claims have been applied due to the agitation. This claim is the biggest in the history of Nepal. Earlier, a claim of Rs 17 billion was made during the earthquake. He said that due to the floods in Kathmandu and Kavre in September last year, a claim of around Rs 13 billion was made.

“Looking at the current damage, I thought there would be a bigger claim. Insurance companies in Nepal have paid for earthquakes and floods. If there was more insurance, we would have helped them recover faster,” Vaidyawar said. The 1,700 claims are small in nature. These can range from 40-50 lakhs to 2 crores. Others are of a larger nature, he said.

“We will pay small claims by Diwali. We pay the claim in a simple manner. We have already sent its draft to the authority. In case of a vehicle burnt, the driving license, billbook and the police should have given a letter of burnt. We give advances for large payments,” he said.

Insurance company

has Rs 28 billion reserve

According to Vaidyawar, the insurance company will cover Rs 22 billion through special reserve. “We have Rs 27-28 billion in this reserve, there is no need to worry about it. We have the support of reinsurance behind us,” Vaidyawar said.