GIC Nepal joins NPI; agreement to automate insurance company’s payment related process

General Insurance Company Nepal Ltd. has signed an agreement with Nepal Clearing House Ltd. (NCHL)for automating its various payments related processes, including disbursements and collections, through NCHL payment systems. The agreement was signed by Mr. Ram Chandra Shrestha, CEO of GIC Nepal, and Mr. Neelesh Man Singh Pradhan, CEO of NCHL.

With this, GIC Nepal has become another 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 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 held 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 held 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 technical partner Arhant Solution Pvt Ltd., which has been providing core insurance solutions to more than 18 non-life insurance companies in Nepal. 

GIC Nepal along with other 30 life and non-life insurance companies are already using NCHL’s connectIPS platform for their premium collection and 8life and non-life insurance companies have already subscribed for NPI system, which is now part of the National Payment Switch. 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 69non-bank institutions including PSPs/PSOs, insurance companies, remittances, merchant banks, Government, Semi-Govt institutions, large corporates, etc.

General Insurance Company Nepal Ltd. has been providing its service since 6^th Ashad, 2075. Promoted by individuals representing diverse fields like Banking, Insurance, Trading, Manufacturing, Tourism, etc., it is always focused on providing an efficient service to its customers.GIC Nepal is thriving to develop innovative and custom-made products for delivering quality service. And it believes that this partnership with NCHL will help extend its presence in the insurance products delivered through various digital channels.