Disaster victims file billions of yuan in insurance claims

Chinese insurers have received a large number of claims from people affected by floods and geological disasters triggered by the recent extreme rainfall in 16 regions, the National Financial Regulatory Administration said on Saturday.

Insurance companies in the regions have so far received 260,600 claims seeking a total of 9.78 billion yuan ($1.37 billion), according to the administration.

The companies have already settled 114,000 of the claims, paying out 1.45 billion yuan to date.

The administration has issued a notice urging its local branches and the insurance industry to thoroughly carry out their duties related to flood relief and insurance claim services.

Local branches are required to guide insurance companies under their jurisdictions to make detailed plans to address insurance claims.

The branches and companies should endeavor to ensure that more than 30 percent of compensation claims are paid within a week of being submitted, and auto insurers should pay more than 90 percent of claims by the end of this month, the notice said.

It also asked insurance institutions to increase coverage for groups such as low-income people and small and micro enterprises.

The notice has instructed insurance companies to improve communication with local governments and offer efficient claim services by making fast and accurate predictions and preparations, utilizing high-tech instruments and optimizing work procedures.

China Daily - Xinhua