Nepal Life welcomes waiver of 5% tax; suggestion to issue development bond targeting Insurance Companies

ShareSansar July 16:

Nepal Life Insurance Company Limited (NLIC) welcomes the decision made by government about lifting 5% tax imposed on death claim payment done by life insurance companies, introduced by the Budget of FY 2072/73.

Lifting tax on a death claims will make General Public optimistic towards Life Insurance product.  Waiver of taxes and flexibility in other provisions are expected in future as well for developing Life Insurance business as a means of social security.

Also, Life insurance can provide support in overall development of the country so this sector should be paid special attention and necessary policies and programs needs to be made for the development of this sector. Nepal Life Insurance Company is positive that government would consider this.

It would be very useful if the Government issues a long term Development Bond targeting at the insurance companies.