IRDAI asks insurers for speedy claims settlement in areas hit by cyclones Tauktae, Yaas

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Updated: May 30, 2021 5:14 PM

Regulator IRDAI has asked life insurers to take steps for quick settlement of life insurance claims in all the states affected by cyclones Tauktae and Yaas.

Regulator IRDAI, life insurers, speedy claims settlement , cyclones Tauktae, Yaas, General and standalone health insurance companies, Pradhan Mantri Jeevan Jyoti Bima YojanaSpecial attention may also be given to the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) claims, the circular said.

Regulator IRDAI has asked life insurers to take steps for quick settlement of life insurance claims in all the states affected by cyclones Tauktae and Yaas. General and standalone health insurance companies have also been asked to mitigate the hardships of the affected insured population by ensuring immediate registration and settlement of eligible claims.

There are reports of loss of lives and property due to cyclones Tauktae and Yaas. The cyclones have affected districts primarily in Maharashtra, Gujarat, Odisha and West Bengal. The Insurance Regulatory and Development Authority of India (IRDAI), in a circular, has asked life insurance companies to initiate immediate action to ensure that all reported claims are registered and eligible claims are settled promptly.

Special attention may also be given to the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) claims, the circular said.
“A suitably simplified process/procedure, including relaxations in the usual requirements wherever feasible, may be considered to expedite claims settlement,” it said.

With regard to claims involving loss of life, where difficulty is experienced in obtaining a death certificate due to non-recovery of body, the process followed in the case of Chennai floods in 2015 may be considered. The insurers have also been asked to designate a senior-level officer as the nodal officer in the affected states and Union territories for coordinating and expediting settlement of all claims reported.

In a separate circular, IRDAI said the general Insurers may have issued policies for protection of lives and property located in the affected areas. “There is an urgent need for the insurance industry to take immediate steps to mitigate the hardships of the affected insured population by ensuring immediate registration and settlement of eligible claims,” it said.

The regulator further said it needs to be ensured that all claims are surveyed immediately and claim payments are disbursed at the earliest and in any case not exceeding the stipulated timeline. The general insurance companies and standalone health insurers have also been asked to engage adequate number of surveyors as required.

Insurance companies have also been asked to nominate nodal officers in the affected states for coordination and settlement of claims.

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