The Gen Z Movement’s Impact on Non-Life Insurance in Nepal: An Initial Report
The recent Gen Z movement has brought significant disruption, and its effects are now being assessed across various sectors. One area of particular interest is the non-life insurance sector in Nepal. Following the Gen Z protests on August 23rd and 24th, insurance companies have been inundated with claims related to property damage, vandalism, and other losses.
According to the Nepal Insurance Authority, the total value of insurance claims filed by August 31st has reached an estimated NPR 20.70 billion. This includes a staggering 1,984 individual claims. The scale of the damage underscores the widespread impact of the protests across the nation.
Major corporate buildings such as the Hilton Hotel, Bhatbhateni Supermarket, Ncell, CG Electronics, Global College, Ullens School, and the Central Business Park in Thapathali suffered extensive damage. Many businesses and residential properties also sustained significant damage, with many vehicles damaged.
Top Insurance Companies Affected
The insurance claims are spread across several insurance companies. Here’s a breakdown of the initial impact:
- Oriental Insurance has the highest amount of claims, exceeding NPR 5.14 billion.
- Siddhartha Premier Insurance follows with claims totaling around NPR 4.93 billion.
- Shikhar Insurance has received claims of about NPR 2.39 billion.
- IGI Prudential Insurance is fourth, with claims around NPR 1.59 billion.
- Sagarmatha–Lumbini Insurance has claims of approximately NPR 1.47 billion.
- Himalayan Everest Insurance has claims worth NPR 1.15 billion.
- Neco Insurance has claims of about NPR 1.09 billion.
- Other non-life insurance companies with significant claims include Sanima GIC Insurance (NPR 780 million), Rastriya Beema Company (NPR 495.1 million), United Ajod Insurance (NPR 487.4 million), Nepal Insurance (NPR 469.4 million), NLG Insurance (NPR 385.8 million), Prabhu Insurance (NPR 191.8 million), and National Insurance (around NPR 68.2 million).
Micro Insurance Claims
Micro insurance companies have also felt the impact:
- Protective Micro has claims worth NPR 11.3 million.
- Star Micro has claims worth NPR 6.707 million.
- Nepal Micro has claims worth NPR 5.636 million.
- Trust Micro has claims worth approximately NPR 4.2 million.
This report offers an initial assessment of the damage. The insurance industry is working to assess all claims and provide appropriate support to those affected by the Gen Z movement’s protests. The overall financial impact of the protests on the non-life insurance market in Nepal is still being calculated, and it will continue to evolve as more insurance claims are processed. This situation highlights the importance of comprehensive insurance coverage in mitigating the financial risks associated with such events. We will provide updates as more information becomes available on the claims process and the insurance companies’ response. Property insurance and casualty insurance are key in these situations.
