Asian News - Nepal: Draft law to make insurers launch micro-insurance plans
Source: Asia Insurance Review | Aug 2016
An initial draft of the new Insurance Act prepared by the Finance Ministry will make it mandatory for both life and non-life insurance companies to launch micro-insurance schemes.
The Insurance Board (IB) has also introduced a directive on micro-insurance schemes. Under it, the policy amount has been fixed at a range from NPR100,000 (US$932) to NPR200,000 and annual premium has been fixed at 0.1-5%.
IB Director Sriman Karki said the insurance sector regulator had advised the government to put in place a provision for micro-insurance in the Act so that it could license insurers focused only on micro-insurance.