October 6: Non-life insurance companies have spent four times more on settling claims in the recently concluded FY 2014/15 than the previous year.

During FY 2013/14 the amount stood at Rs 1.33 billion. But in the following year, it increased 3.82 times tp reaching Rs 5.10 billion.

The increment can be attributed to the damages caused by the April 25 quake and the subsequent aftershocks, said Nepal Insurance CEO Chandra Singh Saud. “In the current FY, the amount is expected to increase more,” he said.

According to government figures, non-life insurance companies received claims worth Rs 18 billion following the quake. 

In Nepal, more than 70 per cent of the policies under non-life insurance, cover vehicle insurance. The government has made it making compulsory for all vehicle owners to buy third-party insurance. “The April 25 earthquake has damaged lot of vehicles too,” said Saud.