Narendra Bahadur Kerung Questions Insurance Sector Statistics and Credibility

Kathmandu. Nepali Congress MP Narendra Bahadur Kerung has raised questions about the latest statistics and credibility of the insurance sector. Speaking at a meeting of the Finance Committee under the House of Representatives on Tuesday, MP Kerung stated that the statistics showing insurance penetration reaching 51.01 percent need further in-depth study. He expressed suspicion that the insurance penetration figures might include mandatory insurance for migrant workers going abroad, borrowers of micro-credit, and projects of construction entrepreneurs. He demanded a clear explanation from the Chairman and Executive Director of the Nepal Insurance Authority on this matter. Speaking at the meeting, he said, 'If these mandatory and short-term insurances are removed, the actual insurance penetration in Nepal may only be around 20 to 25 percent.' Emphasizing that the authority needs to clarify this, he added, 'We are responsible not just for information but also for conveying a positive message to the public.' MP Kerung also praised the positive aspects, stating that the insurance business has developed as an industry and has instilled a habit of saving among citizens. He believes that including insurance in the school curriculum and the employment of insurance agents in villages have to some extent helped prevent youth migration. He specifically mentioned the increasing attraction towards agriculture and livestock insurance from Taplejung and Panchthar in the eastern hilly districts to the far west and Karnali as a positive aspect. Expressing concern that some serious problems seen in the insurance sector recently pose a risk of losing public trust, he sought the authority's stance on the issue of senior insurance officials being linked to a property laundering case pending in court. MP Kerung also drew the attention of the government and the authority to the delay in payments for health insurance and corona insurance. He stated that the public is suffering due to the outstanding payments to hospitals, and this is eroding trust in insurance. He pointed out the delay in insurance claim payments for construction entrepreneurs who suffer losses due to natural disasters and the absence of surveyors during vehicle accidents as major problems.