IRDAI directs insurers to fast-track claim settlement process due to Biparjoy

New Delhi: Insurance regulator IRDAI has asked insurers to settle claims in the states affected by cyclone Biparjoy in an expeditious manner. In a circular to CEOs of all general insurance companies, and standalone health insurance companies, the Insurance Regulatory and Development Authority of India (IRDAI) said that 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 timeline.

Insurer shall encourage the policyholder to use electronic communication

"The insurer shall encourage the policyholder to use electronic communication wherever possible for correspondence while initiating the claim and filing all the relevant documents. Efforts shall be made to ensure that digital processes are resorted to the extent possible for assessment of claims," it said.

IRDAI asked insurers to mobilise all resources to ensure immediate service response

Cyclone Biparjoy is likely to have caused loss to property (homes and businesses) and infrastructure in various states. The regulator has asked the insurers to mobilise all resources to ensure immediate service response, including engaging the services of investigators, surveyors and loss adjustors for quick settlement of claims arising out of the havoc created by the cyclone.

Insurers advised to communicate nomination of senior executive in each affected state / UT

The insurers have been advised to communicate the nomination of a senior executive in each affected state / UT to the Chief Secretary/Officer concerned of the state immediately. Insurers will be responding/assisting the claimants through their 24x7 helplines, special claims desks at district level with delegated claims settlement teams for speedy processing and settlement of claims, it said.

Insurers have been advised to settle claim payments/on account payments

Districts reporting large numbers of claims may be overseen by a designated District Claims Service Head, the circular dated June 16 said.
Insurers have been advised to settle claim payments/on account payments at the earliest and also encourage policyholders to use electronic communication wherever possible for correspondence, it said.

Biparjoy made landfall on the coast of Kutch on Thursday night with a wind speed of 115-125 km/hour, causing loss to property and infrastructure in states impacted by the cyclone.

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)