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Nirmala Sitharaman Asks Insurance Companies to Settle Claims Faster


Covid In India: Nirmala Sitharaman Asks Insurance Companies to Settle Claims Faster

Finance Minister Nirmala Sitharaman asked insurance companies to settle claims faster

Amid rising claims owing to the ravaging Coronavirus pandemic, Finance Minister Nirmala Sitharaman held a review meeting with heads of insurance companies, under the Pradhan Mantri Garib Kalyan Package (PMGKP) insurance scheme for health workers fighting the infection.

According to official sources, she asked insurers to accelerate the disbursement of pending claims under the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY).

During the meeting which was held virtually, the Finance Minister noted that under the PMGKP scheme, a total of 419 claims have been paid as on date, amounting to Rs 209.5 crore disbursed in the account of their nominees.

To address the issue of delays arising out of states sending documents, Ms Sitharaman said that a new system has been put in place whereby a simple certificate from the District Magistrate (DM) and endorsed by the nodal state health authority will be sufficient to process these claims.

A total of 4.65 lakh claims have been paid amounting to Rs 9,307 crore under PMJJBY. Since the beginning of the pandemic that is April 2020 onwards till date, 1.2 lakh claims have been paid amounting to Rs 2,403 crore, at a disposal rate of 99 per cent.

The Finance Minister also took stock of the disposal of claims made under Pradhan Mantri Suraksha Bima Yojana (PMSBY) scheme.

A total of 82,660 claims have been settled under PMSBY amounting to Rs 1,629 crore as of May 31, 2021.

Appreciating the recent efforts made by insurance companies and banks in speedy processing of claims, she said that insurance company officials should continue being sympathetic while providing services to nominees of dead policy holders, especially during pandemic period.

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