Nepal Insurance Authority

Nepal Insurance Authority is the sole Regulatory Agency established to systematize, regularize, inspect and supervise insurance business in Nepal. It is an autonomous institution, established as per section 3 of the Insurance Act, 2079 BS, having a legal personality with perpetual succession. The Authority is entrusted with the objective to ensure a fair, competitive, reliable and credible insurance service in Nepal. Similarly, the Authority is also responsible for the regulation of insurance business effectively to protect the rights and interest of policy holders. To carry out these broad objectives, the Authority cooperates and coordinates with various national competent Authorities, private sector, stakeholders, foreign counterparts and international organizations. It is a founding member of International Association of Insurance Supervisors(IAIS).

As a separate Regulator of the Insurance Sector, Insurance Board (Beema Samiti) was established in 2026 BS for the first time which with the enactment of Insurance Act, 2079 BS is converted into Nepal Insurance Authority.

The Authority has a Board of directors as the highest Governing body which comprises five members. As per section 6 of the Act, the composition of the Board is as following:

Person appointed by Government of Nepal – Chairperson
Joint Secretary, Ministry of Finance -Member
Joint Secretary, Ministry of Law, Justice and Parliamentary Affairs -Member
One person from amongst the persons having special knowledge in Life Insurance -Member
One person from amongst the persons having special knowledge in Non-Life Insurance -Member

Vision And Mission

VISION:
Our Vision is to “Transform Nepal Insurance Authority into a highly prestigious and leading Institution of Nepal.”

MISSION:
Our Mission is to “Be recognized as a very professional and well-empowered insurance regulator through continuous learning, competence and integrity”

CORE VALUES:
Our core values are:
A. Integrity
B. Transparency
C. Accountability
D. Team Spirit
E. Service
F. Fairness
G. Innovative

Strategic Goals & Objectives

1. Insurance Access and Inclusion :

Promote Insurance uptake,

Enhance Alternative Insurance Alternative Channels.

2. Insurance Sector Development :

Raising Standards of regulations,

Encourage Merger & Acquisitions,

Promote Reinsurance Sector Development.

3. Insurance Sector Stability :

Moving towards Risk Based Supervision,

Moving towards Risk Based Capital,

Moving towards Solvency II Framework

4. Insurance Infrastructure:

Strengthen Legal for Claim Settlement,

Improve Consumer Complaint Handling Process.

5. Governance:

Increase Boards’ Visibility,

Development of Policyholders Protection Fund (PPF),

Enhance Accountability and Transparency in Insurance Industry.

6. Capacity Development :

Human Capacity Development,

Physical Capacity Development,

Establishment of Branches in the Federal States,

Enhance in Information Technology,

Promote Insurance Education in the national curriculum,

Establishment of Insurance Academy.

Function, Duties and Powers of the Authority

As per the section 5 of the Insurance Act, 2079 BS, the following are the powers, functions and duties of the Authority: –

To act as an advisor of the Government of Nepal regarding Insurance,
To draft the National Policy on Insurance and make recommendation to Government of Nepal,
To grant prior approval for the establishment of Insurance company, issue license or revoke such license,
To formulate necessary Bylaws, Directives, guidelines or orders for the Insurance Business,
To issues licenses to Insurance Intermediaries, renew and revoke such licenses,
To determine the Capital and Capital fund,
To prepare and implement the necessary programs to make the insurance business systematic, regular, competitive and credible,
To conduct or cause to conduct the study, research, trainings, orientation or outreach programs for the development and expansion of Insurance Business,
To provide the decision on the complaints filed by insured against insurer regarding the determination of insurance liability,
To settle the disputes concerning various parties of insurance,
To take necessary actions for minimization of risk in insurance business,
To prepare and implement the programs for the development of human resources and for the promotion of insurance education for the development of insurance business,
To prepare and implement the insurance promotion programs to increase the access to insurance by all the people,
To promote microinsurance business to ensure the access to insurance of the people with low income,
To cooperate, coordinate and exchange information with other governmental, or non-governmental organizations for the regulation, inspection, supervision and development of insurance business,
To cooperate with the foreign Insurance Regulatory Agency, international organization and other organizations that conduct study, research and trainings in insurance,
To represent the Government of Nepal or Authority in international organizations relating Insurance Regulation and to obtain membership of such organizations,
To operate Fund for protection of Policy holder’s interest and carry out or cause to carry out other necessary activities,
To coordinate with provinces regarding insurance,
To carry out other necessary activities relating insurance as a Regulatory agency.