Overview
Nepal Insurance Authority is the Insurance Regulatory Authority of Nepal. Which is under the Ministry of Finance, Government of Nepal. Formerly it was Beema Samiti; The word ‘Beema’ means ‘Insurance’ and ‘Samiti’ connotes ‘Board’. Hence, the Word ‘Beema Samiti’ is synonymous with Insurance Board which is constituted to systematize, regularize, develop and regulate the insurance business within the country under Insurance Act, 1992.
This Samiti (Board) looks after all the insurance-related activities in the Federal Democratic Republic of Nepal. As a regulatory body, the Board’s main concern is to create a professional, healthy and developed insurance market in Nepal.
Furthermore, after the restoration of democracy in 1990 AD, the insurance environment began to change simultaneously along with other factors. Thus to meet the requirements of the changing situation, the Insurance Act, 1968 was repelled by the new Insurance Act, 1992 (Beema Ain, 2049).
The preamble of the Act clearly states the purpose of the Act, thus “to establish an Insurance Board to systematize, regularize, develop and regulate the insurance business”. To achieve the goal of the preamble, Beema Samiti (Insurance Board) is formed as an autonomous body as per the Insurance Act of 1992.
Roles, Function & Responsibility of Beema Samiti:
- In order to systematize, regularize, develop and regulate the insurance business in Nepal, the following functions, duties, and powers are conferred on Beema Samiti:
- To Provide suggestions to Nepal Govt. to formulate necessary policy for systematizing, regularizing, developing and regulating the insurance business,
- Set out guidelines for insurers to invest their fund and prescribe the priority sectors for such investment,
- Register and renew the Insurer, Insurance Agent, Surveyor or Broker and to cancel or cause to cancel such registration,
- Arbitrate in the disputes, which arises between the insurer and insured,
- Make a decision on the complaints filed by the insurer regarding the settlement of liability of the insurance,
- Issue necessary directives to the insurer from time to time regarding insurance business,
- Formulate the necessary basis of the protection of interest of the insured, and
- Do or caused to do other necessary functions regarding insurance business.
