Insurance Regulatory and Development Authority of India (IRDAI) issued Circular No. IRDAI/NL/CIR/MISC/108/8/2024 on August 2, 2024, addressing the response to insurance claims resulting from the landslides in Wayanad, Kerala, in July 2024. The circular instructs all insurance companies, including life and standalone health insurers, to mobilize resources for immediate response. Key directives include appointing a Senior Executive as the Nodal Claims Officer, setting up Special Claims Desks at the district level, and activating 24×7 helplines for claimants. Insurers are also required to publish contact details for state and district heads, engage surveyors and loss adjustors, and use electronic communication for claims processing. The circular emphasizes prompt survey and payment of claims, including interim payments for early reinstatement, and allows flexibility in cases where death certificates are difficult to obtain. Insurers must submit weekly claim information to IRDAI via specified email addresses.
Insurance Regulatory and Development Authority of India
Circular No. IRDAI/NL/CIR/MISC/108/8/2024 Dated: 2nd August, 2024
All CEOs /CMDs of all Insurance Companies, including Life and Stand-Alone Health Insurance Companies
Re: Insurance claims relating to landslides in Wayanad, Kerala
The landslides in Wayanad, Kerala (July, 2024) are reported to have caused widespread loss to human lives, property (homes and businesses) and infrastructure.
2. All Insurance Companies are advised to mobilise all resources to ensure immediate service response including outsourced functions such as Surveyors, Loss Adjustors and Investigators. Specifically:
a. Nominate a Senior Executive to act as the Nodal Claims Officer overseeing the claims response. The Nodal Officer appointment should be communicated to the Chief Secretary concerned of the State immediately.
b. Districts reporting large numbers of claims may be overseen by a designated District Claims Service Head.
c. The contact particulars of the State / District heads should be published on the Insurer website and necessary publicity may be also given in the press.
d. All Insurers should also activate, publish 24×7 helplines to respond / assist Claimants and launch extensive awareness campaign duly highlighting the measures taken.
e. Special Claims Desks at District level with adequate delegated Claims Settlement Authorities are recommended to be set up for affected areas to facilitate speedy processing of claims and settlements including release of on-account interim payments to assist early reinstatement of property/ businesses.
f. It needs to be ensured that all claims are surveyed immediately and claim payments/ on account payments are disbursed at the earliest.
g. Adequate number of Surveyors and Loss Adjustors be immediately engaged and if needed, resources from neighbouring States may be also deployed.
h. Insurers shall encourage Policyholders to use electronic communication wherever possible for correspondence while initiating the claim and filing all the relevant documents. Efforts shall be made to ensure that digital processes are resorted to the extent possible for assessment of claims.
i. Insurers are also expected to review and streamline processing of claims by ensuring only such documentation necessary to substantiate claim quantum, to ensure expeditious final settlement.
j. With regard to claims involving loss of life, where difficulty is experienced in obtaining a death certificate due to non-recovery of body etc., if the details of the Insured matches with the details of the deceased published by State/Central Government or appropriate/Govt. authorities., the claim may be considered without insisting for death certificate.
3. All Insurers (including Life and Standalone Health Insurers) are advised to submit information related to the claims to the IRDAI in the format attached on a weekly basis at [email protected] by General and Health Insurers and at [email protected] by Life Insurers, for a month.
-Sd-
Randip Singh Jagpal
Executive Director (Non-Life)
