9th April 2021, Kathmandu
Rastriya Beema Sansthan has signed an agreement with Nepal Clearing House Ltd. (NCHL) for automating its various payments-related process, including disbursements and collections, through NCHL payment systems. The agreement was signed by Mr. Kabi Prasad Pathak, Administrator of Rastriya Beema Sansthan, and Mr. Neelesh Man Singh Pradhan, CEO of NCHL in presence of the senior officials of both the institutions.
With this, Rastriya Beema Sansthan will integrate its system(s) with NCHL-IPS and connect-IPS e-Payment systems using National Payments Interface (NPI) through its banks. It will enable to process of the disbursements, like claim proceeds, agent commission, salary payment, vendor payments, investments, and similar. Once the system comes into operation, the policyholders of Rastriya Beema Sansthan will be able to pay their premium online through connect-IPS e-Payment or any of the bank branches or alternate channels of NCHL members (BFIs and PSPs). All such transactions will be processed directly through the bank accounts of the insurance company and beneficiaries or customers.
Rastriya Beema Sansthan is a majority Government-owned entity and operates under the National Insurance Corporation Act 2025, with the objective to mobilize internal resources and capital for the economic development of the country, to curb foreign exchange expenditure, and to establish efficient business insurance companies within the nation. It has been taking major initiatives to digitize its business and operations, corresponding to which it has recently implemented its core enterprise system. And with the digitization of its payment and financial transactions through NHCL’s systems, it is expected to improve its service delivery, increased revenue due to faster mobilization of funds, and also impact its financial transparency by reducing dependency on cash and cheques.
NCHL’s systems are currently being used by 26 life and non-life insurance companies through its BFIs for their premium collection and 5 other insurance companies have already subscribed to NPI. NPI is a consolidated interface for interconnection with multiple underlying payment systems of NCHL that has over 62 BFIs within the network and is being used by 51 non-bank institutions including Government, Semi-Govt institutions, PSPs/PSOs, insurance companies, remittances, merchant banks, etc.
For more information, visit www.nchl.com.np.