The Insurance Development and Regulatory Authority (IDRA) is set to settle Tk23.03 crore in long-pending insurance claims for 5,868 policyholders in the second phase of its initiative to restore customer confidence in the insurance sector.
The claims of policyholders from five life insurance companies will be settled on Monday, using funds arranged from different sources, including assets and security bonds of the concerned insurers, according to IDRA.
The initiative comes as several insurance companies have struggled to settle customer claims on time, leaving many policyholders waiting for years for legitimate payments.
In the second phase, Padma Islami Life Insurance Company Limited will settle claims of 3,600 policyholders amounting to Tk12 crore, while Homeland Life Insurance Company Limited will pay Tk4.98 crore to 1,145 policyholders.
Fareast Islami Life Insurance Company will settle Tk5 crore in claims for 580 policyholders, Sunflower Life Insurance Company will pay Tk55.30 lakh to 300 policyholders and Sunlife Insurance Company will settle Tk50.18 lakh for 243 policyholders.
The total payout under the second phase stands at Tk23 crore 3 lakh 56 thousand 971.
Earlier on 3 September, IDRA completed the first phase of the drive by settling Tk14.51 crore in claims for 2,549 policyholders of seven life insurance companies.
With the two phases combined, a total of Tk37.54 crore in insurance claims will have been settled for 8,417 policyholders.
The initiative has been taken under the leadership of IDRA Chairperson Mir Nadia Nivin to ensure policyholders’ legitimate rights, bring discipline to the insurance sector and rebuild public trust.
IDRA said the process would continue, with remaining verified and unpaid claims to be reviewed and settled gradually after completing necessary procedures.
The regulator will continue the initiative until the legitimate claims of policyholders are addressed, it added.
