Kathmandu. The Nepal Insurance Authority (INSURANCE) has directed the life insurance companies and small-life insurance companies to compulsorily include renewal insurance fee and term life insurance fee in addition to the first insurance fee while determining the business target (monthly, quarterly, half-yearly and annual targets to be fixed periodically) for their subordinate employees, departments, provincial offices and branches and sub-branch offices for the next financial year.

In a circular issued to all life insurance companies and small-life insurance companies, the NRA has directed its subordinate employees, sub÷branch÷shale offices and departments to compulsorily include renewal insurance and term life insurance fee in addition to the first insurance fee while setting business targets for the next fiscal year.

The directive came in the context of complaints that insurers have been giving priority only to insurance policies that pay term and single insurance fees while setting business targets, insurance coverage has not reached the low-income group due to the focus on collecting large sums of insurance fees, problems such as insurance lapse and dedication before the insurance period have increased the challenges in the delivery of quality and reliable insurance services.