Over 30% of clients with life insurance do not receive their claims, according to Mohammad Zainul Bari, chairman of the Insurance Development and Regulatory Authority (IDRA).
He came up with this remark on Monday while appearing at a press conference making National Insurance Day which is scheduled to be held on March 1 this year.
In a written speech Zainul Bari said in 2022, the gross premiums of the insurance sector stood at Tk 16,812 crores. Out of this, the gross premiums of life insurance is Tk 11,399 crore and non-life is Tk 5,413 crore.
During the crisis period, the insurance sector provided greater liquidity to the banking sector of the country.
Besides, Tk 1,305 crores of VAT and taxes have been deposited in the treasury of the government on premiums earned by life and non-life insurance companies during 2022.
"We failed to highlight the importance of insurance in front of people. Could not adopt product selection, and policy in keeping with the time. Besides, we have failed to pay insurance claims in time," he added.
Around 30 percent of life insurance claims are not paid. Due to these reasons, people are disappointed and mistrust insurance. That leaves people wondering how else to get compensation without insurance.
"We have identified these issues, which will be resolved gradually through the development of the insurance sector," he added.
