Sikkim floods: IRDAI asks insurers to ensure quick settlement of claims

Regulator Irdai on Wednesday said it has asked general insurers and standalone health insurance companies to ensure expeditious settlement of claims arising out of the havoc caused by the floods in Sikkim.

The flash floods in the Teesta river, triggered by a cloudburst in the early hours of October 4, caused widespread devastation and 40 people were killed.

Insurers have been asked to mobilise all resources to ensure immediate service response, including engaging the services of surveyors, loss adjustors and investigators, for "quick settlement of claims arising out of the havoc created by the floods", Irdai said in a release.

"Insurers are advised to respond/assist the claimants through their 24x7 helplines, special claims desks at district level with delegated Claims Settlement Authorities for speedy processing and settlement of claims," Irdai said.

Further, Insurance Regulatory and Development Authority of India (Irdai) said insurers have been advised to settle claim payments/on account payments at the earliest and also encourage policyholders to use electronic communication wherever possible for correspondence.