NIA Prioritizes Digitalization: Insurers Discuss Agriculture Insurance Reform and New Loss Assessor Guidelines
NIA Agriculture Insurance Reform
15th October 2025, Kathmandu
The Nepal Insurance Authority (NIA) has taken a significant step toward modernizing Nepal’s agricultural insurance sector.
NIA Agriculture Insurance Reform
The Authority successfully concluded an interaction program with representatives from non-life insurance companies in Kupandole, Lalitpur, at its central office.
The core agenda focused on the crucial NIA Agriculture Insurance Reform, discussing two key draft directives and the performance of its existing technology platform.
The primary objective of the program was to gather crucial feedback from insurers. The NIA seeks to make the Agriculture, Livestock, and Medicinal Herbs Insurance Directive, 2079 more relevant and contemporary.
Furthermore, the Authority is in the process of introducing a groundbreaking Loss Assessor Guideline for the first time, a move expected to professionalize the claims settlement process.
Revising the Insurance Directive, 2079
Executive Director Sushil Dev Subedi of the Nepal Insurance Authority led the proceedings, urging participants to provide candid and practical suggestions for the directive’s amendment.
The existing NIA Agriculture Insurance Reform Directive, 2079, needs timely modification to keep pace with dynamic changes in farming practices and market needs.
A detailed discussion ensued on the amendments proposed in the draft directive. The insurance company representatives actively shared their perspectives on how best to structure the policies.
They emphasized the need for clear, implementable rules that benefit both the farmer and the insurer. The NIA will integrate these practical suggestions into the final version of the directive.
Introducing the New Loss Assessor Guideline
Another pivotal element of the program involved the draft of the new Loss Assessor Guideline.
Executive Director Subedi highlighted this as a first-of-its-kind initiative by the Authority. He stressed the importance of concrete feedback for this document as well.
This guideline aims to standardize the process of assessing losses in the agricultural sector, ensuring transparency and efficiency in claims processing.
Establishing clear standards for damage valuation is essential for rapid and fair compensation to farmers. A structured and regulated loss assessment process will build greater trust in the entire agricultural insurance mechanism.
The NIA is committed to finalizing this guideline after incorporating the insightful recommendations received from the non-life insurance companies.
Focus on Real-Time Software and Subsidies
The interaction went beyond regulatory frameworks to address operational challenges, particularly concerning technology and government support.
Insurers offered suggestions regarding the system for recommending government subsidies for agricultural insurance. Optimizing this system is essential for smooth and timely support to farmers.
A major part of the discussion concentrated on the Agriculture Insurance Real-Time Software (ALIS). Participants reviewed the current operational status of the ALIS platform, its existing problems, and the necessary steps for remediation.
As a technology portal, ICT Frame recognizes the criticality of real-time software like ALIS. This system is key to making agricultural insurance more transparent, systematic, and scientific. Addressing its technical issues is vital to realizing the full benefits of the NIA Agriculture Insurance Reform.
Executive Director Subedi confirmed that the Authority would incorporate all the feedback, including those related to the ALIS software and the subsidy process, before giving the final shape to the draft directives.
The involvement of non-life insurance company directors, directors from the NIA, and heads of agricultural departments ensures a comprehensive approach to this reform. This collaborative effort signals the Authority’s commitment to a more digitized and efficient agricultural insurance landscape in Nepal.
For more: NIA Agriculture Insurance Reform
