The Insurance Regulatory and Development Authority of India (IRDAI) has issued a set of detailed guidelines for the processing of all cyclone Amphan-related claims. The guidelines keep in mind social-distancing norms that insurers and customers must follow.
The cyclone has claimed the lives of more than 80 people, and left behind a massive trail of destruction. It hit the coastal regions of West Bengal, Odisha and Bangladesh on Wednesday and Thursday.
The IRDAI, expecting hundreds of claims for losses of life and property, asked insurers to work closely with state administrations. This ensures the identification of policy-holders in distress is quick and eligible claims are settled.
“Immediate action must be taken to ensure that all reported claims are registered and eligible claims are settled”, said IRDAI. These guidelines are issued to CEOs of all insurance companies.
Considering travel restrictions, insurers shall nominate a senior officer who shall be on ground. This officer shall act in the capacity of a nodal in-charge to work closely with state administrations. The officer shall identify affected policyholders on ground.
In addition to this, insurers are asked to advise customers to use online modes for claim settlements, considering COVID-19. However, if policy-holders are coming to office, they must ensure social distancing and proper sanitation.
Amphan is the first major natural disaster to hit India since the COVID-19 pandemic. Due to this, the IRDAI guidelines may set a framework for responses to future devastations.
It is speculated that damages to the Kolkata airport and a few power plants may also be covered by companies.