Page 58 - Insurance Times February 2024

Insurance claims relating to Cyclone b. Districts reporting large numbers of claims may be
overseen by a designated District Claims Service
Michaung and subsequent heavy rains /
Head.
floods
c. The contact particulars of the State / District heads
18.12.2023
should be published on the Insurer website and
necessary publicity may be also given in the press.
1. This is in continuation of the IRDAI’s Circular no. IRDAI/
NL/CIR/MISC/215/12/2023 dated 9th December, 2023 d. All Insurers should also activate, publish 24x7
advising the insurers to take all necessary steps to settle helplines to respond / assist Claimants and launch
the insurance claims arising out of the Cyclone extensive awareness campaign duly highlighting
Michaung and subsequent heavy rains/floods on an the measures taken.
expeditious manner. e. Special Claims Desks at District level with adequate
delegated Claims Settlement Authorities are rec-
2. In order to expedite the settlement of claims, the Au-
ommended to be set up for affected areas to fa-
thority, in exercise of powers conferred under Section
64UM (4) of the Insurance Act, 1938 hereby grants cilitate speedy processing of claims and settlements
special dispensation to General Insurers by increasing including release of on-account interim payments
the limit of losses for appointment of Surveyors and Loss to assist early reinstatement of property / busi-
Assessors specified in Regulation 12(2) of the IRDAI (In- nesses.
surance Surveyors and Loss Assessors) Regulations, 2015 f. It needs to be ensured that all claims are surveyed
as per the following: immediately and claim payments / on account pay-
1) Motor insurance - from current Rs. 50,000/- to Rs. ments are disbursed at the earliest.
1,00,000/- g. Adequate number of Surveyors and Loss Adjustors
be immediately engaged and if needed, resources
2) Other than motor insurance - from current
Rs.1,00,000/- to Rs.5,00,000/- from neighbouring States may be also deployed.
3. The special dispensation granted is applicable to the h. Insurers shall encourage Policyholders to use elec-
tronic communication wherever possible for corre-
claims arising out of Cyclone Michaung and subsequent
heavy rains/floods for a period of two months from the spondence while initiating the claim and filing all
the relevant documents. Efforts shall be made to
date of issuance of the Circular only.
ensure that digital processes are resorted to the
extent possible for assessment of claims.
Insurance claims relating to Cyclone
i. Insurers are also expected to review and stream-
Michaung and subsequent heavy rains / line processing of claims by ensuring only such docu-
floods mentation necessary to substantiate claim quan-
09.12.2023 tum, to ensure expeditious final settlement.
j. With regard to claims involving loss of life, where
1. The Cyclone Michaung and subsequent heavy rains/ difficulty is experienced in obtaining a death cer-
floods (December 2023) are reported to have caused tificate due to non-recovery of body etc., if the
widespread loss to human lives, property (homes and details of the Insured matches with the details of
businesses) and infrastructure in various states. the deceased published by State / Central Govern-
ment or appropriate / Govt. authorities., the claim
2. All Insurance Companies are advised to mobilise all re-
sources to ensure immediate service response includ- may be considered without insisting for death cer-
tificate.
ing outsourced functions such as Surveyors, Loss Adjus-
tors and Investigators. Specifically: 3. All Insurers (including Life and Standalone Health Insur-
a. Nominate a Senior Executive to act as the Nodal ers) are advised to submit information related to the
Claims Officer overseeing the claims response. The Cyclone/flood claims to the IRDAI in the format at-
Nodal Officer appointment should be communi- tached on a weekly basis at nl-catastrophe@irdai.gov.in
cated to the Chief Secretary concerned of the State by General and Health Insurers and at life@irdai.gov.in
immediately. by Life Insurers, for a month.

52 February 2024 The Insurance Times