Rasuwa Floods Trigger Record Insurance Claims

Sabika Shrestha/Pawan Barsha

The devastating floods that struck Rasuwa recently caused unimaginable loss of lives and property.

With extensive damage to infrastructure and disruption to daily life, insurance claims worth a huge amount were filed within just seven days of the disaster.

According to the Nepal Insurance Authority, as of Tuesday, September 1, preliminary insurance claims totaling NPR 25.8735 billion had been filed with non-life insurance companies.

The Authority estimates that the amount will continue to rise.

This is the largest insurance claim amount recorded in Nepal so far.

During last year’s Gen Z protests, insurance claims totaling NPR 21 billion were filed for around 3,900 private and business establishments, while claims following the 2015 Gorkha earthquake amounted to NPR 16 billion.

The floods caused extensive damage to major infrastructure, hydropower projects, vehicles and private property.

According to the Authority, 583 insurance claims were registered within seven days of the disaster.

Given the difficult circumstances, the Nepal Insurance Authority has already directed non-life insurance companies to provide advance payments to policyholders who have filed claims, at the preliminary stage.

The Rasuwa floods caused the greatest damage in the hydropower and engineering sectors.

According to the insurance claims filed so far:

• Engineering and contractor risks: 52 claims worth NPR 20.50 billion
• Homes and property: 113 claims worth NPR 2.34 billion
• Motor insurance, both private and public: 313 claims worth NPR 1.55 billion
• Transport insurance: 47 claims worth NPR 890 million
• Other insurance: 54 claims worth NPR 520 million
• Health insurance: 4 claims worth NPR 40 million

A total of 15 non-life insurance companies have received claims. Among them, The Oriental Insurance Company has recorded the highest claim amount, totaling approximately NPR 13.04 billion.