Premier Insurance Co. (Nepal) Ltd. has signed an agreement with Nepal Clearing House Ltd. (NCHL) for automating its various payment-related process, including disbursements and collections, through NCHL payment systems. The agreement was signed by Mr. Shadew Tiwari, Deputy CEO of Premier Insurance, and Mr. Neelesh Man Singh Pradhan, CEO of NCHL.
With this, Premier Insurance has become the first non-life insurance company to directly integrate its system(s) with the National Payments Interface (NPI) of NCHL, enabling the insurance company to process the disbursement transaction, like claim proceeds, credit note payment, agent commission, survey fee payment, salary payment, purchase/vendor payments, and investment placements fully automated through NCHL-IPS and connectIPS systems. This will also help the insurance company to sweep their transactions from multiple accounts maintained at different banks to its operating account. All such transactions will be processed directly through the bank accounts of the insurance company to the beneficiary/customer account maintained at any bank/financial institution.
With this integration, the transactions can be fully automated and reconciliation eased. The integration has been supported by the insurance company’s software vendor partner Arhant Solution Pvt. Ltd., which has been providing core insurance solutions to more than 17 non-life insurance companies in Nepal.
Premier Insurance along with other 30 life and non-life insurance companies are already using NCHL’s connectIPS platform for their premium collection and 7 other life insurance companies have already subscribed for NPI system. NPI is a consolidated interface for interconnection with multiple underlying payment systems of NCHL and has over 60 BFIs within the network and is being used by 68 non-bank institutions including PSPs/PSOs, insurance companies, remittances, merchant banks, Government, Semi-Govt institutions, large corporates, etc.