Shikhar Insurance Collected Highest Premium of Rs. 3.34 Arba In 8 Months; What is the Status of Other Non-Life Insurance Companies?

When we take a careful look at the numbers of non-life insurance, it seems that this sector has been growing at a steady rate. Nepalese insurance companies are also one of the successful enterprises of Nepal, which are still running the insurance business without suffering heavy losses from the date of establishment until now.

Previously, the business penetration was quite low and was not achieving its full potential but due to the covid-19, it has brought a favorable scenario for the insurance business which can be seen by the increasing numbers.

Shikhar Insurance Company Limited from the Non-life insurance sector collected the highest premium worth Rs. 3.34 Arba. Likewise, Neco Insurance Limited which has 187,805 insurance policies collected a premium worth Rs. 1.97 Arba as its insurance premium till Falgun of F.Y 2079/80. As per the report published by Insurance Authority, Neco Insurance Limited also has the highest number of insurance policies.

On the other hand, the National Insurance Company is the one that earns the lowest insurance fee. The Insurance company has earned only Rs. 64.48 Crore, out of its 21,584 insurance policies during this period. 

Note: Siddhartha Insurance Limited (SIL) and Premier Insurance Company (Nepal) Limited (PIC) merged and started joint transaction in the name of "Siddhartha Premier Insurance Limited". The company started integrated transaction from Falgun 17 with a swap ratio of 1:1.

Likewise, Sagarmatha Insurance Company Ltd. and Lumbini General Insurance Company Ltd merged and maintained a share swap ratio of 100:80. The company started joint integrated transaction from Falgun 29, 2079. 

Note:- Investors of all insurance companies should understand the quality of insurance policies is important rather than number of insurance policies. Moreover, these policies might include scheme such as foreign employment insurance policy which provides less net premium so some insurance companies do not prefer such policies. Hence, judging an insurance company based only on number of insurance policies would be absurd.