February 23: The business of non-life insurance companies seem to be struggling in Nepal as compared to life insurance companies . Life insurance companies on the other hand are thriving in recent days in the country.
Officials of non-life insurance companies admit that they have not been able to expand their business as expected.
The business of life insurance companies has increased in size by 38.8 percent in the first six months of the current fiscal year as compared to the corresponding period of last fiscal year. However, the business of non-life insurance companies has increased by only 17.27 percent.
Altogether 19 non-life insurance companies of Nepal collected a total of Rs 14.9 billion amount as insurance, which is more than the figures of last fiscal year by Rs 2.7 billion. There are a total of 20 non life insurance companies in Nepal. The number non-life insurance companies is more than life insurance companies. However, their business is no so lucrative like that of life insurance companies.
It is said that the business of life insurance companies has increased all of a sudden in the last two years. But the non-life insurance companies have failed to keep the pace with life-insurance companies.
Sunil Ballav Pant, CEO of NLG Insurance, admits this fact.
“The business of non-life insurance companies has not been able to expand. We also lack adequate insurance policies as per the need of the time,” he said.