• Kandivali West Mumbai 400067, India
  • 022 39167251
  • support@email.com
August 9, 2021

Guidelines on settlement of Life Insurance Claims to victims of Flood

by CA Shivam Jaiswal in Corporate Law

Guidelines on settlement of Life Insurance Claims to victims of Flood

Guidelines on settlement of Life Insurance Claims to the victims of Flood in Maharashtra.

Insurance Regulatory and Development Authority of India

Ref. No: IRDA/LIFE/GDL/MISC/222/08/2021

Date:06-08-2021

To Chairman/CEOs of Life Insurers.

Sub: Guidelines on settlement of Life Insurance Claims to the victims of Flood in Maharashtra.

As a result of recent flood there are reports of loss of human lives and loss of belongings in the state of Maharashtra. In order to extend every possible facilitation in quick and timely settlement of life insurance claims, you are advised to take the following actions immediately.

1. Designate a senior level officer as the nodal officer in the state for coordinating/expediting settlement of all claims reported, who will immediately establish contact with the Chief Secretary or the officer concerned of the state and maintain close contact for subsequent follow up. Designate similar nodal officers for each of the affected districts to liaise with district administration, and intimate the contact details of all nodal officers designated to the Authority.

2. Publicize the details of designated officers, special camps etc in the media and through the state Government to facilitate expeditious filing of claims. Start 24×7 helplines, as required. Details of such publicity activities may be sent to the Authority, immediately.

3. Initiate immediate action to ensure that all reported claims are registered and eligible claims are settled promptly. Special attention may also be given to PMJJBY claims.

4. A suitably simplified process/procedure including relaxations in the usual requirements wherever feasible may be considered to expedite claims settlement. With regard to claims involving loss of life, where difficulty is experienced in obtaining a death certificate due to non-recovery of body etc., the process followed in the case of Chennai floods in 2015 may be considered.

5. With a view to limit the fallout of the Corona Virus (COVID-19) pandemic and limiting direct/indirect social contact, all the Life Insurers are advised to encourage and motivate their policyholders/claimants to adopt e-modes, wherever possible for correspondence while intimating the claim and the procedure for filing all the relevant documents.

6. In respect of Policyholders/claimants coming to office, Insurers should follow the government directions regarding maintaining social distancing and proper sanitization. The staff must be duly sensitized to deal with policyholders/claimants with empathy and concern.

7. The Progress report on the claims settled shall be submitted to and hemant.mourya@irdai.gov.in  and life@irda.gov.in on a weekly basis every Monday before 12.00 PM (first such report to be received on 9th August  2021)  for data up to last working day of the previous week. PMJJBY claims data need to be submitted separately while including the same in total claims.

S/d

Chief General Manager (Life Insurance)

Format of Progress report on the claims settled for the week ending

Insurance Claims of victims of Floods (July 2021) in calamity affected districts of Maharashtra State

Insurance Regulatory and Development Authority of India

Ref. No: IRDAI/NL/CIR/MISC/226/08/2021

Date: 06-08-2021

All CEOs /CMDs of all General Insurance Companies and Stand-Alone Health Insurance Companies

Re: Guidelines on Insurance Claims of victims of Floods (July 2021) in the calamity affected districts of Maharashtra State.

As you are aware, the recent floods (July 2021) have caused immense loss to property in parts of Maharashtra State. 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.

2. You are advised to initiate immediate steps for quick registration and disposal of claims on the following lines: –

  • a. Please nominate a senior officer at the company level who would act as a Nodal Officer for the affected State. The Nodal Officer would be coordinating the receipt, processing, and settlement of all eligible claims. The Nodal officer should contact Chief Secretary/ Officer concerned of the state immediately and be in regular contact thereafter.
  • b. Similarly, District level Nodal officer may be appointed in each affected district to liaise with DM/District Administration.
  • c. The contact particulars of the Nodal Officer may also be conveyed to us and the same may be given due publicity in the press and through State Govt. to enable immediate filing of Claims. In addition to this 24/7 help lines may be started.
  • d. If there are any death claims and death certificate is difficult to obtain on account of non-recovery of body etc, the process followed in the case of Jammu & Kashmir floods (Notification of Ministry of Home Affairs, GoI, No. 1/12/2014- Vs (CRS) Dated 12.09.2014- which was also followed when recent floods and cyclone occurred), may be considered.
  • e. Details of offices/ special camps set up for the purpose and other relevant details may be publicized through your website, media and through State Government channels to enable filing of claims.
  • f. It needs to be ensured that all claims are surveyed immediately and claim payments/on account payments are disbursed at the earliest and in any case not exceeding the stipulated time-line.
  • g. Adequate number of surveyors may be engaged immediately as required.
  • h. You are also requested to launch extensive awareness campaign in the affected State duly highlighting the measures taken by you.
  • i. In view of Corona Virus (Covid-19) pandemic, the Insurers shall encourage the policyholders to use electronic communication wherever possible for correspondence while intimating the claim and filing all the relevant documents.

3. All non-life insurers (including Standalone Health Insurers) are advised to submit information related to this flood claims to General Insurance Council in the format already being used for earlier flood/cyclone claims.

4. We request you to take urgent steps for expeditious settlement of claims in the flood affected areas and submit details of the same as advised above.

-Sd/-
Yegnapriya Bharath
Chief General Manager (Non-Life)

Enter your email address:

Subscribe to faceless complainces