Page 33 - The Insurance Times July 2025

Interview

“Nepal’s insurance sector

shows strong growth

potential across life and

non-life markets, driven

by economic shifts, rising

awareness, and

regulatory reforms.”

Mr. Rajendra Maharjan
Deputy Director
Nepal Insurance Authority trust—especially in rural areas prevent many from
understanding insurance benefits. Second, accessibility is
About Mr. Maharjan
weak due to sparse branch networks, unreliable internet,
Mr. Maharjan is currently serving as Deputy Director at and frequent power outages. Third, affordability remains
Nepal Insurance Authority (Beema Sami ), a posi on he an issue, as many cannot afford regular premiums. Fourth,
has held since 2015. He is deputed to the Reinsurance and products are o en complex, with unclear policy terms that
Research Department, where he plays a pivotal role in further diminish trust. Fi h, insurers struggle with data
formula ng reinsurance policies and conduc ng policy- gaps and ineffec ve risk-pricing due to inadequate
level research aimed at strengthening Nepal’s insurance historical and actuarial informa on. Sixth, there is
sector. resistance to innova on and a shortage of skilled
Prior to joining the regulatory authority, Mr. Maharjan had professionals, slowing digital adop on. Finally, devasta ng
a dis nguished career in academia. From 2003 to 2015, he delays in claim se lements, along with fraudulent claims
worked as a full- me academician in several reputed and unethical prac ces, sparked a 57.4% increase in
colleges across Kathmandu Valley, specializing in consumer complaints, deeply damaging credibility.
management and finance educa on. He has taught a wide To address these issues, the Nepal Insurance Authority
range of finance-related courses and is also a co-author of (NIA) has implemented several strategic ini a ves. It has
finance textbooks used in higher educa on. launched public awareness campaigns with local

With a unique blend of academic depth and policy governments, NGOs, and media—especially in rural zones.
exper se, Mr. Maharjan brings valuable insight into the NIA is digitalizing processes, including online agent
evolving dynamics of Nepal’s insurance and reinsurance licensing, a revamped website with chat support, and
landscape. mul lingual complaint tools. To improve claims and deter
fraud, it plans a centralized claims web portal by 2026 27
Q: What are the key challenges currently facing the and an Insurance Informa on Center by 2025. NIA is also
insurance industry in Nepal, and how is the Nepal enforcing the Insurance Act 2022, strengthening corporate
Insurance Authority addressing them? governance, and promo ng Insurtech pilots using satellite,
A: The insurance industry in Nepal faces numerous AI, and mobile tech while manda ng data sharing via
challenges that hinder its growth and erode trust. First, IRMIS. Internally, it has ini ated knowledge sharing
limited public awareness, financial literacy, and sessions to boost regulatory capacity.

The Insurance Times July 2025 29