IRDAI is asking life insurance companies to quickly resolve damages in areas affected by floods

IRDAI Wednesday asked life insurance companies to take immediate steps to expedite damage in flood-prone areas in Andhra Pradesh, Telangana, Maharashtra and Karnataka. As a result of the recent devastation caused by heavy rainfall and floods, loss of human life and property is reported in the affected districts of Andhra Pradesh, Telangana, Maharashtra and Karnataka, it is stated in a circular.

To extend any possible relief for the rapid and timely settlement of life insurance claims it asked insurance companies to appoint a high-level official to act as a nodal officer in the state. The officer would have contact with the state administration to make it easier to identify policyholders among the deceased due to flooding.

The Indian Insurance Regulatory and Development Authority (IRDAI) further said that the nodal officer should immediately contact the Secretary of State or the officer in question in the state and then be in regular contact.

“Initiate immediate action to ensure all reported claims are recorded and eligible claims are settled quickly,” the circular told life insurance companies.

In the case of injuries involving loss of human life where there is difficulty in obtaining a death certificate due to failure to recover the body, insurers have been asked to consider the process followed in case Chennai floods in 2015.

“An appropriately simplified process / procedure, including easing of the usual requirements where possible, may be considered to expedite the settlement of claims,” ​​the regulator said.

Life insurance companies have also been asked by IRDAI to encourage and motivate their policyholders / plaintiffs to use e-modes, where possible, for correspondence, while intimidating the claim and the procedure for archiving all relevant documents in the wake of COVID-19 .